Best Growth Stock Picks
High-growth stocks that are financially stable are attractive for many reasons. They provide a strong upside to your portfolio, with less likelihood of downside risks compared to less financially robust companies. If a buoyant growth prospect is what you’re after in your next investment, I’ve put together a list of high-growth stocks you may be interested in, based on the latest financial data from each company.
OneVue Holdings Limited (ASX:OVH)
OneVue Holdings Limited provides various superannuation solutions in Australia. OneVue Holdings was started in 2004 and with the company’s market capitalisation at AUD A$216.76M, we can put it in the small-cap category.
OVH’s projected future profit growth is a robust 45.28%, with an underlying 52.61% growth from its revenues expected over the upcoming years. It appears that OVH’s profitability may be sustainable as the fundamental push is top-line expansion rather than unmaintainable cost-cutting activities. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a positive return on equity of 12.77%. OVH’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Want to know more about OVH? Have a browse through its key fundamentals here.
Cardinal Resources Limited (ASX:CDV)
Cardinal Resources Limited, together with its subsidiaries, engages in the exploration and development of mineral properties in Ghana. The company now has 117 employees and has a market cap of AUD A$162.50M, putting it in the small-cap group.
CDV’s projected future profit growth is an exceptional 64.10%, with an underlying 62.73% growth from its cash flow from operations expected over the upcoming years. It appears that CDV’s profitability may be sustainable as the fundamental push is operating cash flow expansion rather than unmaintainable cost-cutting activities. CDV’s bullish prospects make it an interesting stock to invest more time to understand how it can add value to your portfolio. Interested to learn more about CDV? I recommend researching its fundamentals here.
Cooper Energy Limited (ASX:COE)
Cooper Energy Limited, a petroleum exploration and production company, finds, develops, and sells oil and gas properties. The company currently employs 36 people and with the company’s market capitalisation at AUD A$624.42M, we can put it in the small-cap stocks category.
COE’s forecasted bottom line growth is an exceptional 79.54%, driven by underlying sales, which is expected to more than double, 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. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 13.06%. COE ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Interested to learn more about COE? Other fundamental factors you should also consider can be found here.
For more financially robust companies with high growth potential to enhance your portfolio, explore this interactive list of fast growing companies.
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.
