Although the prospect of higher rates is weighing on the market, it may be time to examine some of the highest growth stocks. Growth stocks outperformed in 2023 after getting hammered on Wall Street last year. The Nasdaq Composite is more than 8% higher this year, as investors piled into riskier names after some signs of easing inflation last month. On the other hand, the Dow Jones Industrial Average is negative for the year, while the S&P 500 has gained more than 2%. Of course, there are risks ahead as investors digest Friday’s hot inflation report that could mean higher interest rates from the Federal Reserve. The personal consumption expenditure price index, which is the central bank’s preferred measure of inflation, showed prices rose more than expected in January. However, for investors looking for growth stocks to outperform the S&P 500 this year, there are a few highly rated names, according to Morningstar data. These stocks have at least four stars, have a market cap of $5 billion or more, and have a total return of more than 4.5%. This is his name. Booking Holdings made the list. The online travel company was recently named by Goldman Sachs as having a record of strong margin expansion. The stock is up about 20% this year. Block payment companies also fit the criteria. Shares rose slightly after Block reported fourth-quarter earnings that showed strong growth in gross profit, even as earnings missed expectations. Mega-cap tech stocks Amazon and Microsoft make it to this list. Both companies boast four stars from Morningstar, and their shares are up 14% and 6% this year, respectively. Wall Street is more positive on Microsoft as it expands its generative artificial intelligence capabilities, after it said it will integrate ChatGPT technology into products such as Bing and Edge. Uber Technologies, Snowflake and Salesforce are some of the other growth stocks that make this list.