Investors tend to look for stocks that have a strong future outlook. Why invest in something that will grow slower than the rest of the market? In terms of profitability and returns, stocks such as Cheniere Energy Partners Holdings and ViewRay are expected to outperform its peers in the future. 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.
Cheniere Energy Partners LP Holdings, LLC (AMEX:CQH)
Cheniere Energy Partners LP Holdings, LLC, through its interest in Cheniere Energy Partners, L.P., develops, constructs, owns, and operates liquefied natural gas (LNG) regasification facilities at the Sabine Pass LNG terminal located on the Sabine-Neches Waterway. Cheniere Energy Partners Holdings was started in 2013 and with the company’s market cap sitting at USD $6.57B, it falls under the mid-cap stocks category.
CQH is expected to deliver a buoyant earnings growth over the next couple of years of 28.80%, bolstered by a significant revenue which is expected to more than double. An affirming signal is when net income increase is supported by top-line growth. Since net income isn’t artificially inflated by one-off initiatives such as cost-cutting, we know this profit growth is more likely to be sustainable. CQH’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Thinking of investing in CQH? Check out its fundamental factors here.
ViewRay, Inc. (NASDAQ:VRAY)
ViewRay, Inc., through its subsidiary, ViewRay Technologies, Inc., designs, manufactures, and markets radiation therapy systems. Started in 2004, and now run by Chris Raanes, the company currently employs 157 people and with the company’s market cap sitting at USD $524.84M, it falls under the small-cap group.
VRAY’s projected future profit growth is a robust 46.71%, with an underlying triple-digit 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. VRAY 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 VRAY? Have a browse through its key fundamentals here.
Jianpu Technology Inc. (NYSE:JT)
Jianpu Technology Inc. operates a platform that provides online discovery and recommendation services for financial products in the People’s Republic of China. Started in 2011, and now run by Daqing Ye, the company provides employment to 784 people and has a market cap of USD $962.81M, putting it in the small-cap category.
Extreme optimism for JT, as market analysts projected an outstanding earnings growth, which is expected to more than double, supported by an equally strong sales. It appears that JT’s profitability may be sustainable as the fundamental push is top-line expansion rather than unmaintainable cost-cutting activities. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 16.04%. JT’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? 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.