Best Growth Stocks To Buy
Computime Group and Technovator International are two stocks that have strong fundamental factors. This means that these companies not only great investments in terms of, for example, future growth or financial health, but sometimes both. I’ve composed a list of companies which meet or exceed expectations in two or more aspects, making them popular investments .
Computime Group Limited (SEHK:320)
Computime Group Limited, an investment holding company, engages in the research and development, design, manufacture, and trading of electronic control products in the Americas, Europe, and Asia. Founded in 1974, and currently run by King Owyang, the company currently employs 6,000 people and with the company’s market cap sitting at HKD HK$1.04B, it falls under the small-cap stocks category.
320’s previous bottom-line expansion of 28.60% in the prior year, beating the electronic industry’s growth of 7.87%, is an optimistic signal for the future. 320 has ample cash coverage over its short term liabilities, and its total debt is well-covered by its cash flows, demonstrating financial stability and good capital management. In addition to this, 320’s shares are now trading at a price below its true value based on its discounted cash flows, and its relative PE ratio compared to its industry, meaning those that are interested in the stock can buy it for cheap. More detail on Computime Group here.
Technovator International Limited (SEHK:1206)
Technovator International Limited, together with its subsidiaries, provides smart energy management products, solutions, and integrated services primarily in the People’s Republic of China. Established in 2005, and headed by CEO Xiaobo Zhao, the company provides employment to 779 people and with the market cap of HKD HK$1.57B, it falls under the small-cap group.
1206’s strong 5.72% returns in the past year, surpassing the industry growth of 5.45%, gives us more conviction of the company’s capacity to drive bottom-line growth going forward. 1206 has sufficient cash and investments to meet its upcoming liabilities, and its total debt is well-covered by its cash flows, portraying its strong financial capacity. Furthermore, 1206 is currently trading below its true value in terms of its discounted cash flows, and also on its price-to-equity metric, meaning those that are interested in the stock can buy it for cheap. Continue research on Technovator International here.
Water Oasis Group Limited (SEHK:1161)
Water Oasis Group Limited, an investment holding company, provides beauty and related wellness services. Founded in 1998, and run by CEO Siu Tam, the company employs 751 people and with the stock’s market cap sitting at HKD HK$1.02B, it comes under the small-cap stocks category.
1161’s ability to grow its earnings in the past at 74.30%, producing an outstanding triple-digit return to shareholders, paints an buoyant picture for the company. 1161 has ample cash coverage over its short term liabilities, and its debt is adequately covered by its operating cash, which indicates its strong financial position. Last but not least, 1161 is currently trading below its true value in terms of its discounted cash flows, and its relative PE ratio compared to its industry, meaning those that are interested in the stock can buy it for cheap. Continue research on Water Oasis Group here.
For more fundamentally-robust companies with industry-beating characteristics to enhance your portfolio, explore this interactive list of big green snowflake 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.