1 No-Brainer Growth Stock to Buy With $30 Right Now

By Adam Levy – Apr 19, 2026 at 5:30PM ESTKey PointsThis online retailer is showing strong progress in expanding its operating margin.It has three key areas of focus that have helped improve profitability while expanding its customer base.Earnings could soar over the next few years even with modest revenue growth.Not every growth stock in the market is a high-flying stock with a triple-digit share price. In fact, some of the best opportunities in the market are stocks with relatively modest share prices right now. If you're just getting started investing, you may want to take a closer look at Chewy (CHWY +2.04%). Its beaten-down stock price doesn't reflect the massive earnings growth opportunity ahead. Here's why it's an absolute no-brainer growth stock to buy with just $30. Image source: Getty Images. A transformational company Chewy is the leading online retailer for pet products, and it's showing strong momentum in three key areas that will drive significant earnings results over the long run. First is the company's Autoship program. Autoship, as the name implies, is Chewy's subscription service that automatically sends fresh food and supplies to customers' doorsteps every month (or as often as the customer chooses). Not only does it lock in customers, but it also makes managing inventory and combining shipping for multiple products much easier. As a result, it keeps one of Chewy's biggest expenses low. Eighty-four percent of Chewy's sales came through Autoship orders in the fourth quarter, up from 80.6% a year ago. The second area is its retail media advertising business. Chewy Ads is seeing strong momentum driven by its first-party data and highly engaged audience. A large portion of ad-attributed purchases are Autoship orders, CEO Sumit Singh said on the company's fourth-quarter earnings call. That means advertisers can receive a very high return on their investment that translates into months or years of customer orders. The rise of the high-margin advertising business has helped push overall operating margin higher over the last few years. The last area of growth for Chewy is its healthcare business. Chewy had 18 Vet Care clinics around the country as of early April, and it recently added 29 more with the acquisition of Modern Animal. The clinic business operates at a higher margin than the current retail business (although Chewy is exhibiting strong operating leverage). More importantly, it provides another way for Chewy to draw in customers and keep them in its ecosystem. It tightly integrates the clinics with its online pharmacy, enabling quick prescription fills and auto renewals combined with over-the-counter medications and retail orders in Auto shipments every month. Chewy's flywheel The three factors combine to produce a flywheel of growth, whereby management can produce strong operating margin expansion over time. While the core business might exhibit relatively slow top-line growth for a growth stock, the company's bottom line should grow much faster as it expands its operating margin over the next few years. Chewy's adjusted EBITDA margin was 5.7% last year, up from 4.8% the year before. Management expects its EBITDA margin to expand at a similar rate this year, and it maintains a long-term goal of reaching a 10% EBITDA margin. That means EBITDA would grow 75% even without any revenue growth. With the stock trading for just $27, the company's enterprise value of $10.5 billion is just 11.4 times the midpoint of management's EBITDA guidance. That makes it an incredible opportunity for investors right now.Read NextApr 19, 2026 •By Lawrence Rothman, CFAThe Market Is Nervous.

This Growth Stock Is Your Shot at Doubling Up.Apr 17, 2026 •By Adria CiminoPrediction: This Under-the-Radar E-Commerce Stock is Set to SoarApr 14, 2026 •By Geoffrey SeilerThe Pullback Created Bargains: Dirt Cheap Stocks Worth Buying With $10,000 TodayApr 5, 2026 •By Adam LevyThis Stock Soared 12% After Its Blowout Earnings Outlook at the End of March, But It's Not Too Late to BuyApr 2, 2026 •By Josh Kohn-LindquistThe Dip in Chewy Stock Could Be a Gift. Here's How It Could Set You Up for Life.Apr 1, 2026 •By Will HealyChewy Stock Is Struggling Now -- but Where Will It Be in 5 Years?About the AuthorAdam Levy is a contributing Motley Fool stock market analyst covering technology, consumer, and financial stocks and how policy, economic, and consumer trends shape personal finance, Social Security and retirement savings.

Before The Motley Fool, Adam was a financial advisor at Edward Jones. He studied finance and electrical engineering at Carnegie Mellon University.TMFnCaffeineX@admlvyStocks MentionedChewyNYSE: CHWY$27.53(+2.08%)+$0.56*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.