Looking to enhance your portfolio with high-growth, financially-robust stocks, but not sure where you should even begin? Stocks such as Micro-Mechanics (Holdings) and Keppel are deemed to be superior in terms of how much they’re expected to earn and return to shareholders, according to analysts. 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.
Micro-Mechanics (Holdings) Ltd. (SGX:5DD)
Micro-Mechanics (Holdings) Ltd. designs, manufactures, and markets high precision parts and tools for use in semiconductor, aerospace, laser, and other high-technology industries. Formed in 1983, and headed by CEO Christopher Borch, the company provides employment to 482 people and has a market cap of SGD SGD303.09M, putting it in the small-cap stocks category.
A potential addition to your portfolio? Other fundamental factors you should also consider can be found here.
Keppel Corporation Limited (SGX:BN4)
Keppel Corporation Limited, an investment holding company, engages in the offshore and marine, property, infrastructure, and investments businesses in Singapore and internationally. Established in 1968, and run by CEO Chin Hua Loh, the company currently employs 28,879 people and with the stock’s market cap sitting at SGD SGD15.81B, it comes under the large-cap stocks category.
BN4’s projected future profit growth is a robust 39.57%, with an underlying 29.52% 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. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 9.83%. BN4 ticks the boxes for robust growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Interested to learn more about BN4? Have a browse through its key fundamentals here.
Health Management International Ltd (SGX:588)
Health Management International Ltd provides private healthcare services in Singapore, Malaysia, and Indonesia. Established in 1991, and headed by CEO Wei Jia Chin, the company currently employs 1,500 people and with the stock’s market cap sitting at SGD SGD561.33M, it comes under the small-cap category.
Driven by the positive double-digit sales growth of 24.44% over the next few years, 588 is expected to deliver an excellent earnings growth of 15.52%. It appears that 588’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 high double-digit return on equity of 25.30%. 588’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 588? I recommend researching its fundamentals here.