Could buying this ASX 200 stock at $23 be like investing in Amazon in 2008?

One Australian company is going gangbusters at the moment, and its stock is already a 17-bagger over the past 5 years.

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Perhaps it's slowed down a bit in recent times, but e-commerce behemoth Inc (NASDAQ: AMZN) is still the gold standard when it comes to growth stocks.

Consider this. 

On 21 November 2008, a few weeks after the collapse of US finance giant Lehman Brothers triggered the global financial crisis, the Amazon share price closed at $1.89.

Now, only 15 years later, it trades around the $154 mark.

If you were insightful enough to hold those shares over that period, it's become better than an 81-bagger for you.

That is, $10,000 of Amazon shares bought on 21 November 2008 would now be worth $814,814.

Crazy stuff. But it happened.

Believe it or not there are companies with this sort of potential all around the world, including in the S&P/ASX 200 Index (ASX: XJO).

While no one can tell you with 100% certainty which ones they are, with careful research investors can make some educated picks.

Let's consider Australian success story Neuren Pharmaceuticals Ltd (ASX: NEU).

Receiving revenue to put towards future products

Judging by the last week, it's no wonder why some might think Neuren could be the next Amazon.

The ASX 200 biotech stock has rocketed almost 50% since Wednesday morning last week.

Some favourable clinical trial results helped with this recent surge. But Neuren shares have been trending upwards in the longer run as well.

Over the past 12 months the stock has more than tripled in value. If you go back five years, Neuren Pharmaceutical is a fair-dinkum 17-bagger.

The company plays in a highly specialised field with not many rivals, developing drugs to treat rare neurological disorders.

It's currently in the exciting early stages of its life cycle, meaning every positive trial result and regulatory approval leads to huge surges in stock price.

But it is paying its own way, with revenue coming in from one of its products that have already been commercialised.

Daybue, which is the world's only approved treatment for Rett Syndrome, is licensed to US giant Acadia Pharmaceuticals Inc (NASDAQ: ACAD), which pays Neuren sales royalties.

This income enables the Aussie biotech to continue developing its other products.

According to CMC Invest, three of the four analysts that cover Neuren Pharmaceuticals currently rate it as a buy.

If the business can keep up this pace, there is no reason why in 15 years the stock could not be an 81-bagger.

John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Amazon. The Motley Fool Australia has recommended Amazon. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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