Growth Stock Shares in a company whose earnings are expected to grow at an above-average rate relative to the market.
Also known as a "glamor stock". Investopedia Says: A growth stock usually does not pay a dividend, as the company would prefer to reinvest retained earnings in capital projects. Most technology companies are growth stocks.
Note that a growth company's stock is not always classified as growth stock. In fact, a growth company's stock is often overvalued. Related Terms: Growth At A Reasonable Price - GARP Growth Company Growth Fund Growth Industry Growth Rates Investment Style Long-Term Growth Mid-Value Stock Price-Earnings Ratio - P/E Ratio Value Stock |