Why You Better Sell Shiba Inu And Buy These 2 Growth Stocks Instead

Shiba inu (CRYPTO: SHIBA) has been one of the hottest new cryptocurrencies on the market in recent times, climbing over 500% in the past three months as the S&P 500 only increased by 5%. But the danger with cryptocurrencies, especially a coin like this, is that valuations can fluctuate quickly and without warning. If you’ve made any money with Shiba Inu, maybe now is the time to cash in those gains and invest them in safer growth stocks.

Some promising growth investments to consider now are Innovative industrial properties (NYSE: IIPR) and Roku (NASDAQ: ROKU). Here’s why both might be much better options for you.

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1. Innovative industrial properties

If you are looking for growth opportunities then it’s hard to go wrong with an emerging industry like cannabis. Analysts at cannabis research firm BDSA predict that industry sales will increase by 41% this year. And by 2026, global cannabis sales will grow at a compound annual growth rate of at least 15%, reaching a value of over $ 62 billion.

And in this industry, one company that might be the best option is the Innovative Industrial Properties Real Estate Investment Trust (REIT). Through sale-leaseback agreements, he provides cannabis growers with an influx of cash for their properties to facilitate their growth, and in return, he creates a constant cash flow for himself. CNBC’s Jim Cramer recently called the stock “the best cannabis game.”

It’s easy to see why, since this is a company that not only grows, but also shows a profit and pays a dividend to its shareholders. to shareholders. If you’re lucky you can find a cannabis stock that does two of these things, but all three are incredibly rare.

For the period ending September 30, Innovative Industrial Properties reported revenue of $ 53.9 million, which increased 57% year-on-year, while net profit of $ 30 million increased to a similar pace. REITs use funds from operations (FFOs) to assess their performance and ability to pay dividends. And the company’s diluted FFO per share of $ 1.62 in the last quarter was a 33% improvement from a year ago. This puts it in an excellent position to pay its quarterly dividend of $ 1.50, especially as growth continues. With a 2.2% dividend yield, you’ll reap more innovative industrial properties than you would with the average S&P 500 stock, where the average yield is around 1.4%.

This is a safe cannabis game that can pay off in the short and long term through dividend income and capital appreciation as the industry continues to grow.

2. Roku

Another exciting growth stock to own is entertainment company Roku. Its shares have fallen in recent times (down more than 23% in three months), as news from AlphabetYouTube is leaving Roku’s streaming platform and Amazon Prime Video potentially doing the same (over a dispute over privacy issues and user data) has likely caused investors to panic and fear that sales will slow down in the coming quarters.

While there may be some short-term drop in income from these ongoing fights, I’m optimistic they won’t last; fixing these issues is in the best interests of all businesses, and that’s why I wouldn’t bet that this is a long-term issue for Roku. Buying on that negativity just makes the stock a better buy, and it can pay off for investors who just buy and hold.

Additionally, Roku is expanding internationally into new markets, with plans to launch its TVs in several Latin American countries this year. More recently, it launched its streaming players in Germany. And with over 2,000 channels to offer there, delivering a wide range of content doesn’t seem like an issue for Roku.

Even amid reopening and a return to normal in the economy, Roku has seen continued strong demand for streaming. In its most recent quarter (period ending September 30), streaming hours totaled 18 billion and increased 21% year over year. Its active accounts of 56.4 million were also 23% higher than a year ago. And net sales of $ 680 million were up 41% year-over-year.

Roku is a solid growth stock and likely will remain so for the foreseeable future. Don’t let the noise drown out what is otherwise a promising investment to hold for the long term.

This article represents the opinion of the author, who may disagree with the “official” recommendation position of a premium Motley Fool consulting service. We are heterogeneous! Challenging an investment thesis – even one of our own – helps us all to think critically about investing and make decisions that help us become smarter, happier, and richer.

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