U.S. Markets closed
  • S&P Futures

    4,238.75
    +2.50 (+0.06%)
     
  • Dow Futures

    33,869.00
    +34.00 (+0.10%)
     
  • Nasdaq Futures

    14,278.50
    +20.25 (+0.14%)
     
  • Russell 2000 Futures

    2,293.90
    +1.40 (+0.06%)
     
  • Crude Oil

    73.08
    +0.02 (+0.03%)
     
  • Gold

    1,778.40
    +1.00 (+0.06%)
     
  • Silver

    25.82
    -0.04 (-0.14%)
     
  • EUR/USD

    1.1940
    -0.0003 (-0.0239%)
     
  • 10-Yr Bond

    1.4720
    -0.0120 (-0.81%)
     
  • Vix

    16.66
    -1.23 (-6.88%)
     
  • GBP/USD

    1.3938
    -0.0009 (-0.0669%)
     
  • USD/JPY

    110.7360
    +0.1010 (+0.0913%)
     
  • BTC-USD

    33,059.80
    +1,558.45 (+4.95%)
     
  • CMC Crypto 200

    779.18
    -15.15 (-1.91%)
     
  • FTSE 100

    7,090.01
    +27.72 (+0.39%)
     
  • Nikkei 225

    28,956.35
    +72.22 (+0.25%)
     

3 Fast-Growing Small Caps to Consider

  • Oops!
    Something went wrong.
    Please try again later.
·3 min read
  • Oops!
    Something went wrong.
    Please try again later.

- By Alberto Abaterusso

Investors who target growth may want to consider the following small-cap stocks, as they represent companies whose trailing 12-month net earnings per share improved significantly on a year-over-year basis.

Furthermore, Wall Street is predicting that these stocks will keep on increasing their earnings over the next several years. Analysts have issued optimistic recommendation ratings for them.


IRSA Inversiones y Representaciones SA

The first stock to consider is IRSA Inversiones y Representaciones SA (NYSE:IRS), an Argentinian real estate company focusing on shopping malls and office buildings for rental purposes and the acquisition and management of hotels. The company also engages in the development of residential properties and land reserves.

IRSA's trailing 12-month profit was 30.33 Argentinian pesos ($0.40) per diluted share as of the first quarter of fiscal 2021, compared to a loss of 52.64 Argentinian pesos per diluted share as of the same quarter of fiscal 2020.

Wall Street sell-side analysts predict that IRSA's income will continue to increase over the next five years by a growth rate of 13% per annum.

The share price ($4.99 as of Dec. 11) has fallen 25.28% over the past year for a 52-week range of $2.57 to $7.58.

3 Fast-Growing Small Caps to Consider
3 Fast-Growing Small Caps to Consider

As of December, on Wall Street, the stock has two buy recommendation ratings with an average target price of $6.30 per share.

Addus HomeCare Corp

The second company under consideration is Addus HomeCare Corp (NASDAQ:ADUS), a Frisco, Texas-based personal care services provider.

Addus' trailing 12-month pro forma earnings were $2.99 per share as of the third quarter of 2020, representing a 33% increase from $2.25 per share as of the third quarter of 2019.

Wall Street sell-side analysts predict that Addus will continue to grow its pro forma earnings per share by approximately 15% on average every year over the next five years.

The share price ($104.78 as of Dec. 11) has risen by 13.5% over the past year, determining a 52-week range of $43.13 to $117.77.

3 Fast-Growing Small Caps to Consider
3 Fast-Growing Small Caps to Consider

As of December, on Wall Street, the stock has three strong buy recommendation ratings and one hold recommendation rating for an average target price of $125.75 per share.

Avadel Pharmaceuticals PLC

The third company to consider is Avadel Pharmaceuticals PLC (NASDAQ:AVDL), an Irish specialty pharmaceutical developer of treatments for narcolepsy patients and for clinically important hypotension.

Avadel's trailing 12-month GAAP earnings were 20 cents per share as of the third quarter of 2020, which was a positive shift from a net loss of $1.28 per share as of the comparable quarter in 2019.

Wall Street sell-side analysts predict that Avadel's GAAP earnings per share will grow by an average rate of 15% per annum over the next five years.

The share price ($7.18 as of Dec. 11) rose by 6.37% over the past year for a 52-week range of $4 to $13.49.

3 Fast-Growing Small Caps to Consider
3 Fast-Growing Small Caps to Consider

As of December, on Wall Street, the stock has one strong buy recommendation rating and four buy recommendation ratings for an average target price of about $18 per share.

Disclosure: I have no positions in any securities mentioned.

Read more here:



Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.

This article first appeared on GuruFocus.