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 your holdings could benefit from diversification towards growth stocks, whether it be in reputable tech stocks or green small-caps, take a look at my list of stocks with a bright future ahead.
Exelixis, Inc. (NASDAQ:EXEL)
Exelixis, Inc., a biopharmaceutical company, engages in the discovery, development, and commercialization of new medicines with the potential to enhance care and outcomes for people with cancer. Established in 1994, and now run by Michael Morrissey, the company provides employment to 287 people and has a market cap of USD $7.73B, putting it in the mid-cap stocks category.
EXEL is expected to deliver a triple-digit high earnings growth over the next couple of years, bolstered by an equally impressive revenue growth of 95.26%. 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 return on equity coming in at a notable 36.68%. EXEL’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. Could this stock be your next pick? Check out its fundamental factors here.
RYB Education, Inc. (NYSE:RYB)
RYB Education, Inc. provides early childhood education services in China. Established in 1998, and now run by Yanlai Shi, the company provides employment to 4,434 people and with the company’s market capitalisation at USD $765.61M, we can put it in the small-cap category.
Extreme optimism for RYB, as market analysts projected an outstanding earnings growth, which is expected to more than double, supported by an equally strong sales growth of 60.19%. 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 high double-digit return on equity of 23.90%. RYB ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Want to know more about RYB? Other fundamental factors you should also consider can be found here.
Anthera Pharmaceuticals, Inc. (NASDAQ:ANTH)
Anthera Pharmaceuticals, Inc., a biopharmaceutical company, focuses on the development and commercialization of medicines for patients with unmet medical needs. Formed in 2004, and run by CEO John Thompson, the company currently employs 33 people and with the company’s market cap sitting at USD $28.53M, it falls under the small-cap category.
Could this stock be your next pick? I recommend researching its 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.