With inflation playing the spoiler, the Dow Jones Industrial Average tanked nearly 1,300 points yesterday. The hot inflation data indicates that the Federal Reserve will continue aggressively raising interest rates. That’s bad news for growth stocks.

Without a doubt, it makes sense to remain overweight on blue-chip stocks that do not fluctuate very much. Even if we leave aside the current macroeconomic challenges, September has historically been a difficult month for stocks. Amidst the gloom, I see a lot of value in some high-quality growth stocks.

The market correction is likely to leave some growth stocks meaningfully undervalued,  making them well-positioned to rally once the correction is over. And sometimes deep value growth stocks hold their ground or trend higher when the market slumps.

Here are three growth stock picks that are worth buying now.

Nio (NIO)

Electric-vehicle stocks have faced multiple obstacles in the last few quarters. Nio (NYSE:NIO) has outperformed, however, gaining 55% in the last six-months. The shares are likely to continue to rally from oversold levels due to Nio’s positive developments.

One reason to be bullish on NIO is the continuing increases of its vehicle deliveries. In Q2, Nio’s deliveries jumped 14.4% YOY. It’s worth noting that in August 2022, its deliveries soared 81.6% YOY.

I expect the growth of Nio’s vehicle deliveries to accelerate through 2023, thanks to the new models that it plans to launch. The production and deliveries of Nio’s new ES7 EV has already started to ramp up. At the same time, its upcoming ET5 vehicle will further boost the firm’s growth.

Nio has a strong balance sheet with total cash of $8.1 billion as of the end of Q2. Consequently,  the company will be able  to aggressively invest in expanding its manufacturing capacity, the development of its products,  and international expansion.

Coinbase (COIN)

Coinbase (NASDAQ:COIN) is another undervalued name. It’s worth noting that COIN stock reached its all-time lows of $40 in May. Even as cryptocurrencies remain depressed, the stock has nearly doubled from that level. I expect COIN stock to gradually advance in the next few quarters.

Recently, Daiwa Securities analyst Carlton Lai upgraded COIN stock to “outperform.” Lai believes that Coinbase is likely to benefit from increased demand for Ethereum (ETH-USD) staking  after the crypto’s Merge.

Lai also points out that Coinbase is expected to  generate $553 million of revenue from staking in 2023. That will help the company reduce its reliance on “more cyclical” trading revenue, Lai contended.

It’s worth noting that Coinbase ended Q2  with cash and equivalents of $5.7 billion. Even given its  subsequent cash burn, the company has enough funds to invest in platform development and, potentially, international expansion. Further, COIN has continued to focus on recruiting institutional clients. Such clients are likely to enable the company to boost its revenue meaningfully during the next bull market.

Roblox Corporation (RBLX)

Roblox (NYSE:RBLX) stock fell sharply from its all-time highs as the markets discounted a lower growth trajectory. However, in the last six-months, the stock has climbed 19%. Amidst challenging market conditions, I expect this undervalued stock to continue to be resilient going forward.

I have little doubt that Roblox is the best available metaverse play. The metaverse market is expected to be worth $824 billion by 2030. As a result, RBLX should grow meaningfully in the coming years.

For Q2, Roblox reported revenue growth of 30% on a year-over-year basis. In Q2 of 2021, its sales soared 127% YOY. Clearly, its growth has meaningfully decelerated. However, that factor is already reflected in the stock.

In Q2, the firm’s daily active users declined in the U.S. and Canada. However, in Q2 Roblox’s daily active users in the Asia Pacific region soared 71% YOY. Given the company’s global presence, its addressable market is huge, and Roblox is well-positioned to be boosted by the metaverse’s global growth.

On the date of publication, Faisal Humayun did not hold (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.