You don’t have to spend a lot of money to buy a share in a successful company. Some stocks are priced below $50 per share and present a respectable upside for long-term investors. However, these stocks don’t present an upside just because they have low prices. Rising revenue and earnings are two components of high-potential companies.

These stocks check off both items, but they also have growth catalysts that suggest more gains are on the way. Some of these stocks also have low valuations that present a respectable margin of safety for long-term investors. None of these stocks currently has a market cap above $10 billion, and they don’t receive as much attention as the giants, such as the Magnificent Seven.

Wondering which of the under $50 stocks can bring your portfolio to a new high? These are some of the stocks to consider that have plenty of upside for long-term investors.

Semrush (SEMR)

Semrush (NYSE:SEMR) is a search engine marketing tool that helps businesses and individuals find good keywords, plan out ad campaigns, and construct marketing strategies. It’s hard to match the features and functionality that Semrush provides. 

The top marketing tool also has a good setup for long-term investors. The company’s annual recurring revenue model generated 21% YOY revenue growth in the first quarter. While revenue reached $85.8 million in the quarter, net income came to $2.1 million. Profits more than doubled YOY, resulting in a 2.5% net profit margin.

The firm has nearly 112,000 paying customers. It’s been successful at attracting new customers and getting existing customers to upgrade their accounts.

Semrush has a good opportunity to expand profit margins in future quarters. Investors are growing more bullish on the stock based on its single-year gain of 31%. The average price target from five analysts implies a potential 19% upside. Semrush is currently rated as a moderate buy.

Upwork (UPWK)

Upwork (NYSE:UPWK) is an online freelance marketplace that should continue to grow as the remote work trend becomes more mainstream. Upwork makes it easier for businesses to find top talent, and it allows individuals to develop multiple income streams. 

The stock hasn’t done well year-to-date, registering a 25% loss during that time. However, the recent declines have resulted in a 31.5 P/E ratio for a company that regularly reports revenue and net income growth. Upwork delivered 19% YOY revenue growth in the first quarter to reach $190.9 million. Meanwhile, net income was up by 7% YOY, reaching $18.4 million in the process. Upwork closed out the quarter with a 9.7% net profit margin. 

The freelance marketplace has two exciting revenue opportunities that can translate into more gains for the stock. Ad revenue increased by 93% YOY while Freelancer Plus revenue jumped by 76% YOY revenue growth. Upwork now has more than 100,000 active subscriptions for its Freelancer Plus offering.

SoFi (SOFI)

SoFi (NASDAQ:SOFI) is a digital bank that offers bank accounts, brokerage accounts, personal loans, credit cards, and other financial products. The stock hasn’t performed well so far, based on a 31% year-to-date loss, but that has put it among under $50 stocks.

The fintech firm delivered another strong earnings report in the second quarter that featured 20% YOY revenue growth. Net income came in at $17.4 million compared to a $47.5 million net loss in the same quarter last year. The bank also closed the quarter with 8.77 million members compared to 6.24 million members in the same quarter last year. 

Digital banks have been gaining momentum. They have less overhead which allows them to offer more competitive financial products. The industry is expected to maintain a compounded annual growth rate of 11.7% from now until 2033. SoFi looks poised to gain plenty of market share during that stretch and reward long-term investors. Analysts believe the stock can rally by 23% from current levels.

On this date of publication, Marc Guberti held a long position in SOFI. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

On the date of publication, the responsible editor did not have (either directly or
indirectly) any positions in the securities mentioned in this article.