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Want to add more growth to your portfolio but not sure where to look? Companies such as AxoGen and Hess Midstream Partners are deemed high-growth by the market, with a positive outlook in all areas – returns, profitability and cash flows. 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.
AxoGen, Inc. (NASDAQ:AXGN)
AxoGen, Inc. provides surgical solutions for peripheral nerve injuries. The company provides employment to 142 people and with the stock’s market cap sitting at USD $934.17M, it comes under the small-cap stocks category.
Driven by the exceptional 96.45% sales growth over the next few years, AXGN is expected to deliver an excellent earnings growth of 57.26%. It appears that AXGN’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 positive return on equity of 5.04%. AXGN’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Want to know more about AXGN? I recommend researching its fundamentals here.
Hess Midstream Partners LP (NYSE:HESM)
Hess Midstream Partners LP focuses on processing natural gas and fractionating natural gas liquids (NGLs) in the United States. Hess Midstream Partners was started in 2014 and with the company’s market cap sitting at USD $1.11B, it falls under the small-cap group.
Driven by the positive double-digit sales growth of 31.42% over the next few years, HESM is expected to deliver an excellent earnings growth of 28.01%. 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 high double-digit return on equity of 20.71%. HESM ticks the boxes for robust growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Should you add HESM to your portfolio? Take a look at its other fundamentals here.
China Rapid Finance Limited (NYSE:XRF)
China Rapid Finance Limited, through its subsidiaries, operates consumer lending marketplace in the People’s Republic of China. Started in 2004, and headed by CEO Zhengyu Wang, the company currently employs 3,119 people and with the stock’s market cap sitting at USD $327.38M, it comes under the small-cap category.