The Best Stocks to Invest $1,000 in Right Now

After more than three years of this bull market, bargains are more difficult to find, as the S&P 500 trades at a price-to-earnings (P/E) ratio that is at the high end of its historical range. But there are still reasonably good values to be found, even among growth stocks.

If you're investing extra cash for the long term, focus on resilient businesses with solid growth prospects and valuations that still make sense. Here are two top stocks to consider buying right now.

Image source: Netflix.

Netflix

Netflix (NASDAQ: NFLX) is one of the strongest consumer brands, offering affordable entertainment to over 325 million paying members. The stock has delivered tremendous returns over the past decade, and its recent dip could give investors an attractive entry point.

The Motley Fool's research has found that most streaming service subscribers feel there are too many services, which plays to Netflix's strengths. The company has raised subscription prices over the years and still produced strong results as membership numbers keep climbing. Revenue from its ad-supported tier more than doubled last year, helping total revenue increase 16% to $45 billion.

That said, the ride hasn't always been smooth. The stock has suffered four drawdowns of 60% or more over the last 25 years, including the most recent in 2022. If Netflix ever struggles to grow its membership base and revenue, the stock could get punished once again.

Still, Netflix appears positioned to keep growing, since it holds only a small share of its overall addressable market. Analysts expect earnings to rise at an annualized 21% rate in the years ahead, driven by membership growth and margin expansion. That outlook helps justify the stock's forward P/E of 30, supported by recurring revenue and a long growth runway.

Amazon

Amazon (NASDAQ: AMZN) delivered a return of more than 100x to investors who bought shares in 2005 and held on. And winners often keep winning -- especially when a company has a durable competitive advantage, as Amazon does.

Amazon has dominated the U.S. e-commerce market, which accounts for 37% of its $716 billion in annual revenue. Its vast selection of products and fast delivery have helped build a large customer base. Management shared that more than 300 million customers used its artificial intelligence-powered shopping assistant, Rufus, in 2025.

E-commerce has gotten more competitive in recent years. While Amazon's online retail growth has slowed, the innovation behind Rufus is what makes Amazon a company built to last. At its core, Amazon is a technology company with multiple growth engines. Revenue from cloud computing and digital advertising continues to climb at more than 20% year over year, indicating these businesses have a long growth runway.

The stock trades at a forward P/E of 28, which isn't cheap. But cash flow tells a different story. The stock's multiple on cash from operations has fallen to about 16 over the last year -- the lowest level Amazon stock has traded since the 2008 bear market. For investors who can buy and hold for the long term, that could set up excellent long-term gains.

John Ballard has positions in Amazon. The Motley Fool has positions in and recommends Amazon and Netflix. The Motley Fool has a disclosure policy.