Two Growth Stocks to Buy Now: Amazon's AWS and TJX Companies

The valuation of SpaceX has raised some concerns among investors due to its rich price. For those seeking growth stocks, two consumer goods sector companies stand out as potential alternatives.

One of these companies is Amazon's cloud-computing business, Amazon Web Services (AWS). AWS continues to grow sales and profits rapidly, driven by the increasing adoption of generative artificial intelligence. With a 28% market share at the end of Q1, it has a competitive advantage due to its enormous size and resources.

AWS' second-quarter sales grew 36.8% year-over-year to $42.2 billion, with operating income increasing by 63.6%. The company's total sales also grew 19.6%, reaching $200.6 billion. The valuation of Amazon has become more attractive this year, with a P/E ratio decreasing from above 30 to 22.

Another growth stock is TJX Companies, which sells discounted apparel and home goods through its retail brands, including TJ Maxx, Marshalls, and HomeGoods. The company's business model allows it to benefit during economic downturns due to its negotiating power with wholesalers. In Q1, TJX reported a 6% increase in same-store sales across all its brands.