3 Stocks That Could Make You a Millionaire by 2030: March 2024 Edition

Stocks to buy

What are the defining features of millionaire-maker stocks?

First, they must be fast-growing companies exceeding their industry’s growth, supporting stock outperformance. Second, their growth must be backed by secular tailwinds enabling multi-year growth.

In the current investment landscape, different industries will originate several millionaire-maker stocks. For example, the cybersecurity threat environment has dramatically changed due to the rise of state-sponsored attacks. This means that security spending will grow as Chief Information Security Officers (CISOs) invest to protect their companies and meet regulatory requirements.

Besides cyber security, other industries with long-term secular tailwinds, such as the Internet of Things and beauty, present exciting prospects. The following stocks from the above mentioned industries will make you a millionaire by 2030.

Zscaler (ZS)

Zscaler (ZS) logo on a corporate building

Source: Sundry Photography / Shutterstock.com

The growth case for cybersecurity stocks like Zscaler (NASDAQ:ZS) is as straightforward as ever. Ransomware threats soared in 2023, with gangs extorting a record $1.1 billion. Additionally, cyber has become a key frontier in geopolitical warfare, with China and Russia constantly using this attack vector.

Rising ransomware attacks and recent disclosure requirements mean CISOs must prioritize cybersecurity threats. Governments are also emphasizing the need for better defenses. In 2021, President Biden issued a cybersecurity executive order, one of the key orders being the modernization of federal government cybersecurity.

One key directive in this modernization effort was that all federal agencies move to zero trust architectures. Of course, Zscaler is a leader in zero trust security and will benefit from this priority spending from federal agencies. It has FedRAMP authorization for products like Zscaler Internet Access and Zscaler Private Access.

The company is enjoying strong growth in federal as it upsells its security solutions to cabinet-level agencies. In the latest quarter, Q2 fiscal year 2024, customers with over $1 million in annual recurring revenue grew 31% year over year (YOY).

Despite these tailwinds, ZS has sold off from over $250 to below $200. Yet management expects 30.9% growth based on revenue guidance of $2.118 billion to $2.122 billion for 2024.

e.l.f. Beauty (ELF)

Image of teen girls taking a selfie on a shopping trip.

Source: Studio Lucky/Shutterstock.com

e.l.f. Beauty (NYSE:ELF) is the number one beauty and cosmetic brand among teens for a reason. Its price point caters to the price-conscious consumer who also wants high-quality products. What’s more, its products are environmentally friendly and ethical, which is a key selling point for the modern consumer.

These two factors, plus the underlying strength in beauty and cosmetics spending, have propelled the stock to new heights. ELF stock is up over 38% year to date (YTD).

Its February 6 quarterly report added to the impressive streak of earnings. The company delivered 85% YOY revenue growth and gained 305 basis points in market share. Further, Q3 of 2024 was the 20th consecutive quarter of market share and revenue growth.

Management still sees a significant growth runway in color cosmetics and skincare. Notably, e.l.f. is the most productive brand at Target (NYSE:TGT), Ulta Beauty (NASDAQ:ULTA) and Walmart (NYSE:WMT). Thus, the company is seeing demand for its products among retailers, expanding shelf space in other chains like CVS Health (NYSE:CVS).

What’s more, it has barely penetrated its international opportunity. It has begun expanding into markets like Canada and the U.K., expanding shelf space in stores like Superdrug and Boots. In Q3, international grew by 119% but was only 15% of revenues, highlighting the potential.

ELF’s value proposition is unmatched. Its quality products have an average price of $6, compared to legacy brands at $9 and prestige ones at $20. Additionally, brand innovation is driving share gains, with its brands taking number one or two positions in 16 segments of color cosmetics. This means that the growth momentum in ELF stock will continue.

Samsara (IOT)

An image of a hand holding a phone with a cloud on the screen, icons above the phone; controller, music note, camera, plane, shopping cart, home, magnifying glass. Cloud computing stocks to buy

Source: La1n/Shutterstock

With the rise of the Internet of Things, companies are using the technology to boost operating efficiencies and digitize operations. Samsara (NYSE:IOT) is at the heart of this transformation through its Connected Operations Cloud.

It ended fiscal year 2024 with $1.1 billion in annual recurring revenue, representing 39% YOY growth. The company added 611 customers with over $100,000 in ARR. As a result, the company closed the year with 1,848 large customers.

Companies are subscribing to Samsara’s solutions to improve operations. A good example is the USIC deal, the largest customer addition in the quarter. The provider of underground public utility location services will use Samsara’s video-based safety application to boost the safety of its 12,000 technicians.

Additionally, Samsara’s Connected Operations Cloud is leveraging customer data to produce insights that enable efficient, safe and sustainable operations. For instance, these insights result in lower insurance premiums, lower maintenance costs, reduced accidents, improved asset utilization and fuel savings. In fiscal year 2024, it processed over 9 trillion data points and digitized over 230 million workflows.

Also, the company focuses on gaining customers in international markets like Europe, Canada and Mexico. In Q4 FY2024, 16% of net new annual contract value was from the international segment. Samsara continues to enable digital transformation, cost savings and safe operations for customers. The growing demand for its platform will drive the stock higher.

On the date of publication, Charles Munyi had long positions in ZS and ELF and did not hold (either directly or indirectly) any positions in other securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Charles Munyi has extensive writing experience in various industries, including personal finance, insurance, technology, wealth management and stock investing. He has written for a wide variety of financial websites including Benzinga, The Balance and Investopedia.

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