2 top growth shares I think could help me retire early!

Jon Smith outlines two top growth shares he likes that operate in sectors he thinks could grow strongly over the next decade and beyond.

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I’ve got the best part of the next three decades to work before I can start to draw my State Pension. Who knows, in this period the pension age might increase even further. Either way, the concept of taking action now to help me retire early is incredibly appealing. Here are a couple of growth shares that I think could help me along the way.

Growth for a decade, not a few months

My general thinking is that growth stocks should experience an increase in the share price in the future. Until the business reaches a more mature state and can’t really grow materially much more, the stock should continue to attract buyers. As a long-term investor, buying now and holding for years to come should allow me to benefit from these compounding gains.

For example, the first stock on my radar is Tesla (NASDAQ:TSLA). Yesterday I wrote about the electric vehicle manufacturer and why I think the short-term sell-off isn’t completely justified. With the earnings per share figure growing for each of the past eight quarters, I think the business is becoming much more appealing. As the share price moves back to a fairer valuation (it’s down 7% in the past year), it provides me with a good opportunity to buy.

I get that global supply chain issues could dampen vehicle production in coming quarters. But the infrastructure with the gigafactories is there for the future to be able to ramp up operations when feasible.

It also speaks to my aim of finding a stock that can help me to retire early. Electric vehicles are the future, not just for the next year but for the next decade. The share price gains that I could make if Tesla remains at the forefront of this sector could be very large.

A growth share hidden in the FTSE 250

Another company that ticks the box is Hiscox (LSE:HSX). The FTSE 250 insurance company specialises in small business cover. One area that it focuses on is cyber and data protection. With the UK becoming a more digital economy, I think this area will be a big revenue source for Hiscox in years to come.

It did post a disappointing set of results for the first half of the year. However, most of the issues aren’t problems I envisage staying around for the long term. Some issues mentioned were the war in Ukraine, foreign exchange headwinds with a strong US dollar and the sharp increase in interest rates.

The share price is still relatively muted after the August results, with the price up a modest 3.5% over the past year. If anything, this provides me with a better entry point when I consider buying to hold this for the future.

I feel the business could help me retire early due to the elevated customer demand for specialist insurance types, like cybercrime. It’s also not reached the size of larger players that are in the FTSE 100. With good future performance, it should be able to become a player at the big table.

I’m thinking about buying both stocks now to add to my portfolio.

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

Jon Smith has no position in any of the shares mentioned. The Motley Fool UK has recommended Tesla. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

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