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The easiest way to build wealth is to persistently buy shares of growing companies in the stock market and be patient. There is a high correlation between a company's growth and its stock's performance over many years.

And that's why these fool.com contributors believe MercadoLibre (NASDAQ: MELI), e.l.f. Beauty (NYSE: ELF), and Sweetgreen (NYSE: SG) are no-brainer buys right now. Read on to find out more about these highfliers, and why they could be poised for more gains.

A proven winner with massive upside

John Ballard (MercadoLibre): Latin America is one of the fastest-growing e-commerce markets worldwide, and this tailwind sent shares of MercadoLibre soaring over the last decade. The recent dip in the stock is an excellent buying opportunity, as the company continues to report robust growth.

MercadoLibre's marketplace business has over 53 million unique active buyers. With internet penetration rates climbing across the region, there is still substantial room to grow, as noted by the 16% increase in Mercado's active buyers last quarter.

But one of the reasons MercadoLibre is such a good investment is how it uses various offerings, such as mobile payments, consumer credit, shipping services, and advertising to attract more users to its commerce ecosystem.

Across all of these products, the company's revenue grew 36% year over year in the first quarter. It should maintain these high growth rates, since the number of e-commerce users in Latin America is expected to increase 52% to 419 million by 2029. Moreover, as the e-commerce leader, MercadoLibre can gain market share and grow faster than the broader commerce market.

The stock is up 49% over the last 12 months and could repeat that performance over the next year or so. The stock's price-to-sales (P/S) valuation is currently 5.6, which is a discount to its 10.6 average P/S multiple over the trailing-10-year period.

The stock's discount reflects the negative sentiment from the recent market sell-off and the lingering uncertainty about the health of the economy. But as MercadoLibre continues to grow, the stock's P/S multiple will likely rise and deliver outstanding returns to shareholders.

Disrupting the cosmetics industry

Jennifer Saibil (e.l.f. Beauty): Makeup has historically been a hard category to break into, but as with many other industries, the internet has changed all that. E.l.f. has disrupted the beauty status quo by targeting digitally oriented millennial shoppers with cheap, eco-conscious and trendy products. It has a social and environmental mission and stands behind it, resonating with its target population, and it takes full advantage of digital connections to create relationships with its core customers.

It has been reporting staggering growth despite inflation. Then again, it might be benefiting from inflation to some degree, since beauty enthusiasts who are used to luxury cosmetics might be giving its inexpensive products a try when they're trying to save money.

Sales increased 71% year over year in the 2024 fiscal fourth quarter (ended March 31), and gross margin expanded by 1.8 points to 71%. Full-year sales increased 77%. E.l.f. has been enjoying elevated sales growth over the past two years, likely as a backlash from a deceleration in 2022 when high inflation attacked the economy. Management is expecting 2025 sales to increase 21% year over year, which is still accelerated from recent historical norms.

But the e.l.f. investing thesis isn't about the past, it's about the opportunity. For all of its high growth and popularity, e.l.f. is still a small player on the beauty scene. It took in $1 billion in 2024 sales, a fraction of the likes of Estee Lauder and L'Oreal. Part of that is its low prices -- it has an average unit price of $6.50 versus more than $20 for prestige brands -- but it's also still gaining market share. When you combine low revenue with high growth, that's a recipe for a top stock.

It's already close to the top in color cosmetics, where it has the No. 1 or No. 2 spot in 18 product categories, but it's only No. 11 overall in skincare. It's investing in reaching higher, and it recently acquired skincare company Naturium to help it get there. E.l.f. has incredible momentum and potential, and investors can still buy into its story.

A hidden artificial intelligence play

Jeremy Bowman (Sweetgreen): One of the most underrated growth stocks in the market right now might be Sweetgreen. Sweetgreen is best known as a fast-casual salad chain, and it's the leader in the fast-growing, underappreciated restaurant category.

Sweetgreen now has more than 200 locations around the country and is expanding quickly with plans to add 23 to 27 locations this year.

Sweetgreen's average unit volumes (AUV) also show that has the popularity to contend with top fast-casual chains like Chipotle as its AUV checked in at $2.9 million in its most recent quarter.

Revenue jumped 26% in the first quarter driven primarily by new restaurants and same-store sales growth of 5%. Restaurant-level profitability has also improved substantially, helping drive a recovery in the stock following a disappointing performance after its late 2021 IPO.

However, the best reason to buy Sweetgreen stock may be a technology that virtually no other restaurant can claim to have.

The company is investing in robotic kitchens that it calls Infinite Kitchen, which uses robotic systems to expedite orders and prep, creating a better experience for customers and reducing labor for employees.

Sweetgreen only has two units with Infinite Kitchens as of March, but it plans to open 10 to 11 more this year, and it is bullish on the technology as it has been shown to increase the average ticket and improve margins, boosting the company's financials.

While the technology costs about $500,00 per restaurant to implement, the boost in profitability should pay off over the long run. Combine that with the company's already popular salad concept, and Sweetgreen looks like a long-term winner.

Don’t miss this second chance at a potentially lucrative opportunity

Ever feel like you missed the boat in buying the most successful stocks? Then you’ll want to hear this.

On rare occasions, our expert team of analysts issues a “Double Down” stock recommendation for companies that they think are about to pop. If you’re worried you’ve already missed your chance to invest, now is the best time to buy before it’s too late. And the numbers speak for themselves:

• Amazon: if you invested $1,000 when we doubled down in 2010, you’d have $21,904!*
• Apple: if you invested $1,000 when we doubled down in 2008, you’d have $43,562!*
• Netflix: if you invested $1,000 when we doubled down in 2004, you’d have $349,245!*

Right now, we’re issuing “Double Down” alerts for three incredible companies, and there may not be another chance like this anytime soon.

See 3 “Double Down” stocks »

*Stock Advisor returns as of July 8, 2024

Jennifer Saibil has positions in MercadoLibre. Jeremy Bowman has positions in Chipotle Mexican Grill and MercadoLibre. John Ballard has positions in MercadoLibre. The Motley Fool has positions in and recommends Chipotle Mexican Grill, MercadoLibre, and e.l.f. Beauty. The Motley Fool recommends Sweetgreen. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.