A few key factors exist in finding the best growth stocks to buy.

First, you want to find companies trading at a discount to their intrinsic value. This means that the stock is undervalued by the market and has the potential for significant upside.

Second, you want to find companies with strong fundamentals. This means they have strong financials, a solid management team, and a competitive edge.

Finally, you want to find companies with a history of positive earnings growth. It is the best indicator of future success and gives you the best chance of making a profit on your investment. Following these simple guidelines can dramatically improve your chances of finding the best growth stocks to buy.

The market’s recent retreat is not only a reflection of the general trend in the U.S. economy but also a consequence of several factors. These include inflation and interest rates rising, geopolitical uncertainty and fears of trade wars and the strong dollar.

However, there are now signs the economy might be getting better. The July data shows that inflation is on the way down, with prices rising just 8.5% as opposed to a year ago in July, which saw prices increase by 9.1%.

In addition, respondents to a new survey expect inflation to run at a much lower rate over the next year, an increase in positive sentiment from a survey conducted in June.

When we consider the positive news, the spotlight is now on growth stocks again. With that in mind, here are four stocks that you may want to consider adding to your portfolio.

Coca-Cola (KO)

Coca-Cola (NYSE:KO) is a global brand that is recognizable and trusted by consumers all over the world. This brand recognition gives Coca-Cola a significant competitive advantage in the beverage market.

Coca-Cola has a strong track record of financial stability and consistent growth. The company has been able to weather economic downturns and still maintain shareholder value.

The company’s diversified product portfolio includes high-margin products like sparkling water and juices. This product diversification gives Coca-Cola additional growth potential in the future.

For these reasons, Coca-Cola is a great investment for long-term growth.

Its recent financial results illustrate this point. The company posted $11.3 billion in sales during the year’s second quarter, a 12% increase year-over-year. The global sales volume also grew by 8% for the period.

Earnings per share came in at 44 cents, which indicates a 28% decline, but both these numbers beat analyst estimates by a healthy margin. Additionally, Coke’s organic sales are expected to be 12%-13% for the upcoming fiscal year, an improvement from the previous projection of 7%-8%.

Furthermore,  Coca-Cola is also partnering with various brands of alcoholic products. One recent partnership is to produce a canned Jack and Coke cocktail. It builds on a relationship previously established with Molson Coors Beverage (NYSE:TAP) to make spiked lemonade. These partnerships will further diversify the company’s portfolio.

Apple (AAPL)

Apple (NASDAQ:AAPL) is a very strong company. It has a large market share in several key product categories, including smartphones, tablets, and computers.

In addition, Apple generates a lot of cash flow, which gives it the flexibility to invest in growth opportunities and pay dividends to shareholders. Also, Apple’s share price is relatively low compared to its peers, which means there is potential for upside if the company continues to perform well.

One of the biggest keys to Apple’s success is the brand loyalty espoused by its clients. Compared to other smartphone operators, Apple has managed to keep an iron grip on its position as a top smartphone maker despite new companies cropping up consistently in the space.

Despite only four variants of the iPhone currently available, Apple has consistently ranked among the world’s top smartphone sellers.

Apple’s revenue for the third quarter of 2022 was a record-breaking $83 billion, which is 2% more than a year before. EPS was $1.20, and the net income for Q3 came out to be at $19.44 billion.

Apple reports that its services revenues rose by over 12% in Q3 year-over-year to $19.6 billion. This allows the company to reduce its dependence on selling iPhones and other hardware products.

Apple is an excellent example of how to do well by your investors. The tech giant paid $28 billion in share buybacks and dividend payments during the fiscal third quarter. Buybacks have become an important part of Apple’s investment case. They are especially critical when the volatile stock market, making it one of the best growth stocks.

Procter and Gamble (PG)

Procter & Gamble (NYSE:PG) stock has been one of the best-performing stocks on the market, delivering strong returns for investors.

The company has a strong track record of delivering shareholder value through disciplined execution and effective cost management. Procter & Gamble is well-positioned for continued growth.

Despite being a mature enterprise, Procter and Gamble recorded a 5% increase for the fiscal year 2022, and EPS jumped 6% from the previous year.

Although the growth figures are not massive, they underscore that the multinational continues to grow at a respectable place. This is despite lower sales volume in Russia and Covid-19-related lockdowns in China.

In addition, freight costs and general inflation have increased product prices but have not impacted profits. It is a big reason why this company is on a list of best growth stocks to buy.

P&G has raised its dividend for 66 consecutive years and is a dividend king. In aggregate, the company paid out $8.8 billion in dividends and $10 billion in stock buybacks in the last fiscal period.

The outlook for Procter & Gamble for fiscal 2023 is excellent. P&G expects a 2% growth in earnings per share and domestic sales to grow by 2%.

Again, these numbers might not impress investors used to high-growth prospects like Etsy (NASDAQ:ETSY) and MercadoLibre (NASDAQ:MELI). However, you need to give Procter & Gamble points for delivering in a troubling situation.

Alphabet (GOOGL)

Alphabet (NASDAQ:GOOGL) has a strong history of growth and profitability. Its core search engine business is well-entrenched, with Google accounting for over 92% of all searches on the internet.

In addition, the company has a large cash reserve that it can use to fund future growth initiatives. However, the stock is down this year due to a weaker-than-expected earnings report and negative macroeconomic trends.

Revenues for the second fiscal quarter came in at $69.7 billion, up 13% from $61.4 billion last year. Google Cloud saw its revenues increase 35% from last year’s quarter, and its total business was at $6.28 billion in the second quarter of 2022.

The company is investing further in technology to diversify and grow its business. The segment is unprofitable right now. However, this is an area of growth you cannot ignore.

Amazon (AMZN)

Amazon’s (NASDAQ:AMZN) cloud computing arm has prospered during the pandemic and beyond. With a 33% market share, it rules the roost. Still, with about $125 billion in cash as of June end, you can expect Alphabet to give Amazon significant competition.

The earnings misstep cost Alphabet big time. However, the tech conglomerate has a diversified business model that includes several different businesses, each of which is highly profitable. This provides Alphabet with a buffer against economic downturns. If you are looking for the best growth stocks, yet want some stability, this is a great investment.

On the publication date, Faizan Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.