Investors seeking to increase their exposure to growth should consider companies such as IVE Group and Kogan.Com. Analysts are generally optimistic about the future of these stocks, based on how much they’re expected to earn and return. 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.
IVE Group Limited (ASX:IGL)
IVE Group Limited provides marketing and print communication services in Australia. Founded in 1921, and currently run by Warwick Hay, the company now has 1,100 employees and with the stock’s market cap sitting at AUD A$327.31M, it comes under the small-cap category.
IGL’s projected future profit growth is a robust 34.14%, with an underlying 41.81% growth from its revenues expected over the upcoming years. It appears that IGL’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 positive return on equity of 19.91%. IGL’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Should you add IGL to your portfolio? I recommend researching its fundamentals here.
Kogan.Com Limited (ASX:KGN)
Kogan.Com Limited operates as an online retailer in Australia and internationally. Kogan.Com was started in 2006 and with the company’s market capitalisation at AUD A$605.65M, we can put it in the small-cap category.
An outstanding 44.78% earnings growth is forecasted for KGN, driven by an underlying sales growth of 46.12% over the next few years. It appears that KGN’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 37.49%. KGN ticks the boxes for robust growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Considering KGN as a potential investment? Check out its fundamental factors here.
Department 13 International Limited (ASX:D13)
Department 13 International Limited develops and sells software and communication systems in the networking and communication fields. Department 13 International was started in 2010 and with the stock’s market cap sitting at AUD A$52.05M, it comes under the small-cap category.