Yahoo Finance Growth Stocks Investors Love
Looking to add potential meaningful upside to your portfolio, but unsure where to start? Stocks such as YouGov and PureCircle are considered to be high growth in terms of how much they’re expected to earn and return to shareholders, according to the market. Whether it be a well-known tech stock or a risky small-cap, I believe diversification towards growth can add value to your current holdings. Below I’ve compiled a list of stocks with a bright future ahead.
YouGov plc (AIM:YOU)
YouGov plc provides online market research services in the United Kingdom, the United States, Germany, the Nordic countries, the Middle East, France, and the Asia Pacific. Founded in 2000, and run by CEO Stephan Shakespeare, the company currently employs 779 people and with the company’s market cap sitting at GBP £493.70M, it falls under the small-cap group.
YOU is expected to deliver a buoyant earnings growth over the next couple of years of 39.33%, driven by a positive double-digit revenue growth of 25.44% and cost-cutting initiatives. Although reduction in cost is not the most sustainable operational activity, the expanding top-line growth, on the other hand, is encouraging. Moreover, the substantial growth of over 100% in operating cash flows shows that a decent part of earnings is driven by robust cash generation from operational activities, not one-off or non-core activities. YOU ticks the boxes for robust growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. A potential addition to your portfolio? Have a browse through its key fundamentals here.
PureCircle Limited (LSE:PURE)
PureCircle Limited, an investment holding company, engages in the production, marketing, and distribution of natural sweeteners and flavors. Founded in 2001, and now led by CEO Magomet Malsagov, the company size now stands at 1,100 people and with the company’s market capitalisation at GBP £694.49M, we can put it in the small-cap group.
PURE’s forecasted bottom line growth is an optimistic 45.05%, driven by the underlying 54.62% 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. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a positive return on equity of 10.13%. PURE’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Thinking of investing in PURE? I recommend researching its fundamentals here.
Keywords Studios PLC (AIM:KWS)
Keywords Studios PLC provides technical services to the video game industry in Ireland and internationally. Established in 1998, and currently headed by CEO Andrew Day, the company employs 3,167 people and with the stock’s market cap sitting at GBP £1.12B, it comes under the small-cap category.
KWS’s projected future profit growth is a robust 30.70%, with an underlying 86.37% 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. Moreover, the substantial growth of over 100% in operating cash flows shows that a decent part of earnings is driven by robust cash generation from operational activities, not one-off or non-core activities. KWS ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Should you add KWS to your portfolio? 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.
