Finding the best growth stocks to buy can be a challenge. The equity markets are down, and the S&P 500 index is lower by 13% over a 12-month period. The market has been weak and dozens of stocks have plunged by over 50%.

The markets have never failed to recover in the decades of financial history. The correction and sideways movement is therefore a good opportunity to consider growth stocks to buy for the next few years.

Once the market sentiment reverses, several sound growth stocks are poised for multibagger returns. I would, however, point out here that it’s still not time to go overweight on growth stocks. However, selective buying when there is fear on the streets makes sense.

Let’s discuss three growth stocks to buy for multibagger returns potential in the next few years.

Pinterest (PINS)

Pinterest (NYSE:PINS) stock has trended higher by 17% for the first three months of the year. I expect this uptrend to sustain as key business metrics improve.

For Q4 2022, Pinterest reported 4% growth in monthly active users on a year-on-year basis. For the same period, revenue growth was also 4%. With Pinterest focused on making the platform increasingly shopping friendly, the outlook is bright for ad revenue growth.

It’s also worth noting that the company’s average revenue per user for Q4 2022 from U.S. and Canada was $7.6. For Europe, the ARPU was $1.01 and was just 14 cents for the rest of the world. In the coming years, the ARPU gap is likely to close. Even if active users remain the same, revenue growth and EBITDA margin expansion seems likely.

Last year, Pinterest reported operating cash flow of $469 million. If the ARPU increases from emerging markets, I expect OCF to be in excess of $1 billion by 2025. Pinterest also ended 2022 with cash and equivalents of $2.7 billion. The business seems like a cash flow machine in the coming years.

Li Auto (LI)

Among electric vehicle growth stocks to buy, Li Auto (NASDAQ:LI) looks attractive at current levels. For year-to-date 2023, LI stock has trended higher by 18%. However, the stock seems significantly undervalued considering the impending growth potential.

For 2022, Li Auto reported sales of $6.39 billion, which was higher by 68.8% on a year-on-year basis. The company also reported healthy vehicle margin of 19.1%. I expect strong deliveries growth to sustain in 2023 and beyond.

The first reason for this view is the launch of new models. At the beginning of 2022, the company generated sales from just one model, Li ONE. Through the year, new models will boost the company’s deliveries growth.

Li Auto reported cash and equivalents of $8.47 billion as of Q4 2022. This gives ample flexibility for new product development and an aggressive expansion in retail stores.

Riot Platforms (RIOT)

Bitcoin (BTC-USD) has been trending higher and the crypto winter is finally over. It’s therefore a good time to consider exposure to attractive Bitcoin mining stocks. Riot Platforms (NASDAQ:RIOT) is a top pick and has multibagger returns potential.

A key reason to like Riot is a strong balance sheet. The company has navigated challenging times with zero debt. Further, the company ended Q4 2022 with cash and equivalents of $230 million. Riot also has 7,058 Bitcoin in its balance sheet, which adds to the financial flexibility.

Riot Platforms has also been aggressive on the mining capacity expansion front. As of February, the company reported capacity of 9.8EH/s. Riot expects to boost capacity to 12.5EH/s in the first half of the year. Considering the financial flexibility, further expansion is likely in the second half of 2023.

Bitcoin halving is due in 2024. This is another catalyst for a rally in cryptocurrencies. I would not be surprised if RIOT stock deliveries 5x returns by 2025.

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.