2 Sizzling Hot Stocks to Buy Right Now

In the dynamic world of stock investing, where the thrill of momentum meets the stability of long-term strategies, there’s always a sweet spot for savvy investors. In the spirit of The Fool’s market-beating Rule Breakers service, I love to identify underappreciated growth stocks with the resilience of solid management and innovative business strategies.

On the hunt for top dogs and first-movers in burgeoning industries, I look for sustainable business advantages such as booming market momentum, patent fortresses, visionary leadership, or the missteps of competitors.

This approach often aligns with the principles of momentum trading, a strategy that capitalizes on directional trends in stock prices. Momentum traders aim to “buy high and sell even higher” — a path lined with both rewards and risks. The volatility and timing of momentum trades can be challenging, requiring a nuanced understanding of market trends and investor behavior. It’s also a highly rewarding strategy when you get it right and a couple of big winners can make up for several underperforming picks.

Now, let’s move on to some specific stocks. Today, applying these principles led me to Shopify (NYSE: SHOP) and Atlassian (NASDAQ: TEAM). This thrilling duo of stocks isn’t just on the rise; they’re fundamentally geared for continued success. So let’s check out why I see them as sizzling-hot opportunities in today’s stock market.

Shopify: Build a world-class shopping platform and the rest will follow

E-commerce platform expert Shopify is on a roll. The stock has gained 53% in the last three months and a staggering 123% over the last year and its most important financial metrics look like this:

By making it easy to build and maintain an online shopping experience, Shopify reported double-digit revenue growth even in the economically stunted environment of 2022. The company generated $549 million of free cash flows in the last four quarters, up from a $186 million cash burn in fiscal…