Investors seeking to increase their exposure to growth should consider companies such as Over the Wire Holdings and Compumedics. Analysts are generally optimistic about the future of these stocks, based on how much they’re expected to earn and return. Below I’ve put together a list of great potential investments for you to consider adding to your portfolio if growth is a dimension you would like to firm up.
Over the Wire Holdings Limited (ASX:OTW)
Over the Wire Holdings Limited provides telecommunications, cloud, and IT solutions for corporate clients in Australia and New Zealand. Established in 2005, and headed by CEO Michael Omeros, the company provides employment to 50 people and has a market cap of AUD A$120.76M, putting it in the small-cap group.
OTW is expected to deliver an extremely high earnings growth over the next couple of years of 87.14%, bolstered by an equally impressive revenue growth of 83.09%. It appears that OTW’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 27.11%. OTW’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Considering OTW as a potential investment? I recommend researching its fundamentals here.
Compumedics Limited (ASX:CMP)
Compumedics Limited researches, develops, manufactures, sells, and distributes medical equipment in Australia, New Zealand, the United States, Europe, the Middle East, Africa, and Asia. Compumedics was formed in 1987 and with the company’s market cap sitting at AUD A$70.87M, it falls under the small-cap category.
CMP is expected to deliver a triple-digit high earnings growth over the next couple of years, bolstered by an equally impressive revenue growth of 70.27%. It appears that CMP’s profitability may be sustainable as the fundamental push is top-line expansion rather than unmaintainable cost-cutting activities. We see this bottom-line expansion directly benefiting shareholders, with expected return on equity coming in at a notable 36.09%. CMP’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. A potential addition to your portfolio? Have a browse through its key fundamentals here.
BWX Limited (ASX:BWX)
BWX Limited, together with its subsidiaries, engages in the development, manufacture, marketing, distribution, and wholesale of natural body, hair, and skin care products in Australia and internationally. BWX was established in 2013 and with the company’s market capitalisation at AUD A$797.60M, we can put it in the small-cap group.