Investors seeking to increase their exposure to growth should consider companies such as Supernus Pharmaceuticals and Sandy Spring Bancorp. Analysts are generally optimistic about the future of these stocks, based on how much they’re expected to earn and return. Analysing the most recent financial data, I’ve created a list of companies that compare favourably in all criteria, making them potentially good additions to your portfolio.
Supernus Pharmaceuticals, Inc. (NASDAQ:SUPN)
Supernus Pharmaceuticals, Inc., a specialty pharmaceutical company, focuses on the development and commercialization of products for the treatment of central nervous system diseases in the United States. Formed in 2005, and now run by Jack Khattar, the company currently employs 363 people and with the company’s market capitalisation at USD $1.96B, we can put it in the small-cap group.
SUPN’s projected future profit growth is an exceptional 89.74%, with an underlying 66.89% growth from its revenues expected over the upcoming years. Profit growth, coupled with top-line expansion, is a positive indication. This is because net income isn’t artificially inflated by unsustainable activities such as one-off cost-reductions expected in the future. Moreover, the 10.62% growth in operating cash flows shows that a decent part of earnings is driven by robust cash generation from operational activities, not one-off or non-core activities. SUPN ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. A potential addition to your portfolio? Have a browse through its key fundamentals here.
Sandy Spring Bancorp, Inc. (NASDAQ:SASR)
Sandy Spring Bancorp, Inc. operates as the bank holding company for Sandy Spring Bank that provides commercial and retail banking services to individuals and businesses in central Maryland, Northern Virginia, and Washington D. Founded in 1868, and run by CEO Daniel Schrider, the company employs 727 people and with the market cap of USD $944.87M, it falls under the small-cap stocks category.
An outstanding 83.46% earnings growth is forecasted for SASR, driven by the underlying 64.61% sales growth over the next few years. Profit growth, coupled with top-line expansion, is a positive indication. This is because net income isn’t artificially inflated by unsustainable activities such as one-off cost-reductions expected in the future. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a positive return on equity of 9.91%. SASR’s bullish prospects on both the top and bottom lines make it an interesting stock to invest more time to understand how it can add value to your portfolio. Interested to learn more about SASR? Other fundamental factors you should also consider can be found here.
Paratek Pharmaceuticals, Inc. (NASDAQ:PRTK)
Paratek Pharmaceuticals, Inc., a clinical stage biopharmaceutical company, focuses on the development and commercialization of therapeutics based upon tetracycline chemistry in the United States. Founded in 1996, and headed by CEO Michael Bigham, the company provides employment to 49 people and has a market cap of USD $487.57M, putting it in the small-cap group.
PRTK is expected to more than double its top-line over the next couple of years, according to market analysts. Furthermore, the 16.40% growth in operating cash flows indicates that a good portion of this revenue increase is high-quality, day-to-day cash generated by the business, rather than one-offs. The market’s bullish sentiment on PRTK’s capacity to grow at such high rates makes it an interesting stock to dig into deeper. Want to know more about PRTK? Take a look at its other fundamentals here.
For more financially robust companies with high growth potential to enhance your portfolio, use our free platform to explore our interactive list of these stocks.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.