Growth stocks are generally characterized by:

Growth stocks are typically characterized by capital gains with little to no dividends. This is because growth stocks represent companies that are expected to grow at an above-average rate compared to their industry or the overall market. These companies often reinvest their earnings back into the business to fuel expansion, research and development, or new projects, rather than distributing profits to shareholders in the form of dividends. As a result, investors in growth stocks primarily seek appreciation in the stock price, realizing returns through selling shares at higher prices, rather than through dividend income.

The focus on reinvestment rather than dividends is a fundamental aspect of growth investing. Investors have a higher expectation of significant long-term capital gains, and they tend to accept the lack of dividends as a trade-off for potentially higher returns in the future.