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It’s not uncommon for investors to look for cheap stocks thinking they have tremendous growth potential. However, that’s not exactly how it works. Investors need to consider a company’s market cap and how large that can get. That determines a company’s growth potential. However, some smaller market cap companies do have cheap stocks. When venturing into growth stocks, it’d be a good idea to be as diversified as possible. In this article, I’ll discuss three stocks under $50 to buy this week!

The growing telehealth industry will help drive this stock

As a warning, all three of these companies will appeal to growth investors looking for aggressive opportunities. First, we go to the telehealth industry and look at WELL Health Technologies (TSX:WELL). This company operates primary healthcare clinics and possesses a wide range of technological offerings. WELL Health’s electric medical record network supports more than 2,800 clinics. In addition, its offering supports 36 apps, which healthcare providers can choose from to help optimize their healthcare services.

It’s currently forecasted that the global telehealth industry will grow to an astonishing US$636.4 billion by 2028. That represents a CAGR of 32.1%. If WELL Health can continue expanding its reach and gain market share, then investors could see tremendous gains from here. The company has already managed to expand outside Canada and penetrate the massive American healthcare industry. Today, WELL Health is valued at $1.10 billion. It could be much larger by the end of the decade.

Health care is an excellent sector to look for growth stocks

Staying in the healthcare space, we travel to the United States for our next stock. Invitae (NYSE:NVTA) is a company that aims to better our current methods of medical diagnosis by providing reliable and affordable genetic testing. By bringing genetic testing into the equation, physicians could diagnose illnesses earlier and more accurately, positively affecting the lives of everyone around the world. Currently, it serves patients and healthcare professionals in Canada, the United States, and other countries around the world.

Unlike other companies that operate within the genomics space, Invitae does have products on the market. In fact, its revenue growth has been accelerating over the past year. In 2020, Invitae reported a 29% year-over-year increase in revenue. The company expects 2021 to result in a 60% year-over-year increase. If that happens, Invitae stock could skyrocket.

One thing that I find very interesting is that Invitae has managed to decrease its costs as the company has grown. That demonstrates scalability and is something that all growth investors should look for in the stocks they hold. It’s a tough company to wrap your head around, but Invitae could be a great stock over the next decade.

The e-commerce industry is a great place to find growth stocks

My portfolio features several e-commerce companies. I believe that this industry will grow at a rapid pace over the next decade. In order to take advantage of that, I have invested in leading companies in different parts of the world. In Africa, Jumia (NYSE:JMIA) is the e-commerce leader by far.

As of this writing, Jumia is valued at about US$1 billion. For comparison, Shopify is valued around US$187 billion (CAD$239 billion). This demonstrates how small Jumia is relative to another e-commerce company. Despite its small size, I really like its chances of success, because companies tend to stay away from Africa due to logistical nightmares. However, Jumia has managed to develop an infrastructure that works and is taking advantage of its competitive lead in the area.

Jumia stock has fallen heavily since the start of the year. However, if we look further out, it’s safe to say that these levels make a lot more sense for the stock than where it was earlier this year. Jumia’s previous stock action was a bit unjustified in my opinion, and investors have an excellent opportunity to buy loads of shares at reasonable prices today.

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