Top 3 Growth Stocks For The Month
Robust, high-growth companies such as Texas Roadhouse are appealing to investors for many reasons. They bring about a strong upside to your portfolio, and less downside risk as opposed to financially challenged companies. The list I’ve put together below are of stocks that compare favourably on all criteria, which potentially makes them a good investment if you believe the growth has not already been reflected in the share price.
Texas Roadhouse, Inc. (NASDAQ:TXRH)
Texas Roadhouse, Inc., together with its subsidiaries, operates full-service casual dining restaurants in the United States and internationally. Formed in 1993, and headed by CEO Wayne Taylor, the company now has 52,500 employees and with the stock’s market cap sitting at USD $4.09B, it comes under the mid-cap group.
TXRH’s projected future profit growth is a robust 20.59%, with an underlying 21.16% growth from its revenues expected over the upcoming years. 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. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a high double-digit return on equity of 20.27%. TXRH’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Want to know more about TXRH? Other fundamental factors you should also consider can be found here.
Old Line Bancshares, Inc. (NASDAQ:OLBK)
Old Line Bancshares, Inc. operates as the bank holding company for Old Line Bank that provides banking products and services to small and medium size businesses, entrepreneurs, professionals, consumers, and high net worth clients. Formed in 1989, and now led by CEO James Cornelsen, the company size now stands at 228 people and has a market cap of USD $392.76M, putting it in the small-cap category.
OLBK’s forecasted bottom line growth is an optimistic 45.73%, driven by the underlying 79.24% sales growth over the next few years. It appears that OLBK’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 11.81%. OLBK’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. Considering OLBK as a potential investment? Take a look at its other fundamentals here.
The Trade Desk, Inc. (NASDAQ:TTD)
The Trade Desk, Inc., a technology company, operates a self-service cloud-based platform that enables advertising buyers to create, manage, and optimize data-driven digital advertising campaigns using their own teams in the United States and internationally. Founded in 2009, and now led by CEO Jeffrey Green, the company now has 467 employees and with the stock’s market cap sitting at USD $1.94B, it comes under the small-cap group.
TTD’s forecasted bottom line growth is an optimistic double-digit 26.45%, driven by the underlying 68.30% sales growth over the next few years. 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. We see this bottom-line expansion directly benefiting shareholders, with expected return on equity coming in at a notable 26.06%. TTD’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. Want to know more about TTD? 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.
