Looking to enhance your portfolio with high-growth, financially-robust stocks, but not sure where you should even begin? Stocks such as Ramsay Health Care and Altium are deemed to be superior in terms of how much they’re expected to earn and return to shareholders, according to analysts. Analysing the most recent financial data, I’ve created a list of companies that compare favourably in all criteria, making them potentially good additions to your portfolio.
Ramsay Health Care Limited (ASX:RHC)
Ramsay Health Care Limited provides health care services to public and private patients. Established in 1964, and headed by CEO Craig McNally, the company now has 60,000 employees and has a market cap of AUD A$14.00B, putting it in the large-cap category.
An outstanding 30.79% earnings growth is forecasted for RHC, driven by an underlying sales growth of 12.56% over the next few years. It appears that RHC’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 return on equity coming in at a notable 23.99%. RHC’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Interested to learn more about RHC? Have a browse through its key fundamentals here.
Altium Limited (ASX:ALU)
Altium Limited develops and sells computer software for the design of electronic products in the United States and internationally. Formed in 1985, and now led by CEO Aram Mirkazemi, the company provides employment to 410 people and with the stock’s market cap sitting at AUD A$1.67B, it comes under the small-cap group.
Driven by the positive double-digit sales growth of 32.31% over the next few years, ALU is expected to deliver an excellent earnings growth of 48.52%. 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. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a high double-digit return on equity of 32.38%. ALU’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 ALU to your portfolio? Other fundamental factors you should also consider can be found here.
Xenith IP Group Limited (ASX:XIP)
Xenith IP Group Limited provides intellectual property (IP) services and advice relating to the identification, registration, management, commercialization, and enforcement of IP rights in Australia, New Zealand, and internationally. Formed in 1859, and currently run by Craig Dower, the company currently employs 100 people and with the stock’s market cap sitting at AUD A$105.57M, it comes under the small-cap stocks category.