Companies that have significant growth prospects for profitability and returns can add tangible upside to your portfolio. Micro-X and Medibio are examples of many potential outperformers that analysts are bullish on. If a buoyant growth prospect is what you’re after in your next investment, I’ve put together a list of high-growth stocks you may be interested in, based on the latest financial data from each company.
Micro-X Limited (ASX:MX1)
Micro-X Limited designs, develops, manufactures, and commercializes ultra-lightweight carbon nano tube based X-ray products for the healthcare and counter improvised explosive device imaging security markets in Australia. Micro-X was started in 2011 and with the company’s market cap sitting at AUD A$55.58M, it falls under the small-cap category.
An outstanding 61.51% earnings growth is forecasted for MX1, driven by strong underlying sales growth over the next few years. It appears that MX1’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 8.20%. MX1’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Could this stock be your next pick? Other fundamental factors you should also consider can be found here.
Medibio Limited (ASX:MEB)
Medibio Limited, a medical technology company, engages in the research, development, and commercialization of medical diagnostic technology for mental health based on circadian heart rate data in Australia. Medibio was formed in 1998 and with the company’s market cap sitting at AUD A$69.97M, it falls under the small-cap category.
MEB’s forecasted bottom line growth is an exceptional 94.89%, driven by underlying sales, which is expected to more than double, 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. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a high double-digit return on equity of 42.90%. MEB’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 MEB as a potential investment? Take a look at its other fundamentals here.