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Robust, high-growth companies such as BAIC Motor are appealing to investors for many reasons. They bring about a strong upside to your portfolio, and less downside risk as opposed to financially challenged companies. 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.
BAIC Motor Corporation Limited (SEHK:1958)
BAIC Motor Corporation Limited, together with its subsidiaries, manufactures and sells passenger vehicles in the People’s Republic of China. Started in 1958, and run by CEO Hongliang Chen, the company provides employment to 22,844 people and with the company’s market capitalisation at HKD HK$58.18B, we can put it in the large-cap stocks category.
1958’s forecasted bottom line growth is an optimistic 36.73%, driven by the underlying double-digit sales growth of 26.55% over the next few years. It appears that 1958’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 18.41%. 1958’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. Should you add 1958 to your portfolio? Other fundamental factors you should also consider can be found here.
CSSC Offshore & Marine Engineering (Group) Company Limited (SEHK:317)
CSSC Offshore & Marine Engineering (Group) Company Limited operates in the shipbuilding industry. Started in 1954, and now led by CEO Liping Chen, the company now has 19,952 employees and with the company’s market cap sitting at HKD HK$26.14B, it falls under the large-cap category.
Driven by the positive double-digit sales growth of 23.06% over the next few years, 317 is expected to deliver an excellent earnings growth of 50.96%. An affirming signal is when net income increase also comes with top-line growth. Even though some cost-reduction initiatives may have also pushed up margins, in the case of 317, it does not appear extreme. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 4.28%. 317 ticks the boxes for robust growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Could this stock be your next pick? I recommend researching its fundamentals here.