Best Growth Stock in February

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Looking to enhance your portfolio with high-growth, financially-robust stocks, but not sure where you should even begin? Stocks such as China Literature and Zhong An Real Estate are deemed to be superior in terms of how much they’re expected to earn and return to shareholders, according to analysts. 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.

China Literature Limited (SEHK:772)

China Literature Limited operates an online literature platform in the People’s Republic of China. Established in 2004, and currently run by Wenhui Wu, the company employs 1,490 people and with the company’s market cap sitting at HKD HK$66.71B, it falls under the large-cap stocks category.

An outstanding 63.01% earnings growth is forecasted for 772, driven by the underlying 89.86% sales growth over the next few years. 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 positive return on equity of 9.12%. 772 ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. A potential addition to your portfolio? Check out its fundamental factors here.

SEHK:772 Future Profit Feb 19th 18
SEHK:772 Future Profit Feb 19th 18

Zhong An Real Estate Limited (SEHK:672)

Zhong An Real Estate Limited, together with its subsidiaries, develops, leases, and sells various properties in Mainland China. Established in 1997, and currently headed by CEO Shuiyun Wang, the company currently employs 2,903 people and with the company’s market cap sitting at HKD HK$3.80B, it falls under the mid-cap category.

672’s forecasted bottom line growth is an optimistic 35.19%, driven by the underlying 54.12% sales growth over the next few years. 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 positive return on equity of 8.59%. 672 ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Thinking of investing in 672? Other fundamental factors you should also consider can be found here.

SEHK:672 Future Profit Feb 19th 18
SEHK:672 Future Profit Feb 19th 18

Yihai International Holding Ltd. (SEHK:1579)

Yihai International Holding Ltd., together with its subsidiaries, researches, develops, manufactures, distributes, and sells hot pot soup flavoring, hot pot dipping sauce, and Chinese-style compound condiment products under Haidilao brand name. Started in 2013, and currently run by Chunxiang Dang, the company currently employs 1,436 people and with the company’s market cap sitting at HKD HK$11.31B, it falls under the large-cap stocks category.

1579 is expected to deliver a buoyant earnings growth over the next couple of years of 22.64%, bolstered by an equally impressive revenue growth of 82.05%. 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. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 18.72%. 1579’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 1579? Check out its fundamental factors here.

SEHK:1579 Future Profit Feb 19th 18
SEHK:1579 Future Profit Feb 19th 18

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.

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