Hudbay Minerals and PFB are a few noticeable companies with a strong future outlook. The market’s optimistic sentiment towards these stocks indicates a level of confidence in the future outlook of their businesses. Investment in growth companies can benefit your current holdings, whether it be in established tech giants or undiscovered micro-caps. Here, I’ve put together a few companies the market is particularly optimistic towards.
Hudbay Minerals Inc. (TSX:HBM)
Hudbay Minerals Inc., an integrated mining company, together with its subsidiaries, focuses on the discovery, production, and marketing of base and precious metals in North and South America. Established in 1927, and currently run by Alan Hair, the company provides employment to 2,040 people and with the market cap of CAD CA$2.35B, it falls under the mid-cap stocks category.
An outstanding doubling of earnings is forecasted for HBM, driven by an underlying sales growth of 15.16% over the next few years. An affirming signal is when net income increase also comes with top-line growth. Even though some cost-reduction initiatives may have also pushed up margins, in the case of HBM, it does not appear extreme. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 9.50%. HBM ticks the boxes for robust growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Want to know more about HBM? Check out its fundamental factors here.
PFB Corporation (TSX:PFB)
PFB Corporation manufactures and markets insulating building products made from expanded polystyrene materials primarily for the residential and commercial construction projects in North America. Founded in 1968, and currently lead by C. Smith, the company now has 395 employees and with the company’s market cap sitting at CAD CA$64.41M, it falls under the small-cap group.
PFB’s forecasted bottom line growth is an exceptional triple-digit, driven by the underlying double-digit sales growth of 9.22% over the next few years. Though some cost-cutting activities may artificially inflate margins, it appears that this isn’t solely the case here, as profit growth is also coupled with top-line expansion. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a positive return on equity of 11.00%. PFB’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. Should you add PFB to your portfolio? Have a browse through its key fundamentals here.
High Liner Foods Incorporated (TSX:HLF)
High Liner Foods Incorporated processes and markets frozen seafood products in Canada and the United States. Started in 1899, and currently lead by Henry Demone, the company currently employs 1,293 people and has a market cap of CAD CA$455.99M, putting it in the small-cap category.
HLF’s projected future profit growth is a robust 39.70%, with an underlying 16.60% growth from its revenues expected over the upcoming years. An affirming signal is when net income increase also comes with top-line growth. Even though some cost-reduction initiatives may have also pushed up margins, in the case of HLF, it does not appear too severe. HLF’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.
Thinking of investing in HLF? 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.