Why invest in a stock whose growth outlook that lags behind the market? Investors looking for companies with extraordinary future prospects in terms of profitability and returns should look at the following high-growth stocks. 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.
IVE Group Limited (ASX:IGL)
IVE Group Limited provides marketing and print communication services in Australia. Started in 1921, and run by CEO Warwick Hay, the company provides employment to 1,100 people and with the company’s market cap sitting at AUD A$319.90M, it falls under the small-cap group.
An outstanding doubling of earnings is forecasted for IGL, driven by an underlying sales growth of 41.81% 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 IGL, it does not appear extreme. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a positive return on equity of 19.91%. IGL’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. Interested to learn more about IGL? Take a look at its other fundamentals here.
Silver Lake Resources Limited (ASX:SLR)
Silver Lake Resources Limited, together with its subsidiaries, operates as a gold producing and exploration company in Australia. The company employs 152 people and with the company’s market cap sitting at AUD A$168.80M, it falls under the small-cap group.
SLR’s projected future profit growth is an exceptional triple-digit, with an underlying 12.66% growth from its revenues expected over the upcoming 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 high top-line expansion. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a positive return on equity of 14.00%. SLR’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Considering SLR as a potential investment? Take a look at its other fundamentals here.
Kogan.Com Limited (ASX:KGN)
Kogan.Com Limited operates as an online retailer in Australia and internationally. Kogan.Com was established in 2006 and with the company’s market capitalisation at AUD A$579.48M, we can put it in the small-cap group.