Top ASX Growth Stocks To Buy

Why invest in a stock whose growth outlook that lags behind the market? Investors looking for companies with extraordinary future prospects in terms of profitability and returns should look at the following high-growth stocks. 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.

IMF Bentham Limited (ASX:IMF)

IMF Bentham Limited investigates, manages, and funds litigation claims in Australia, the United States, Canada, Singapore, Hong Kong, New Zealand, and Europe. Established in 2017, and now led by CEO Andrew Saker, the company employs 63 people and with the market cap of AUD A$532.68M, it falls under the small-cap group.

IMF’s projected future profit growth is a robust 39.60%, with an equally impressive underlying growth from its revenues expected over the upcoming years. It appears that IMF’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 14.02%. IMF’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Want to know more about IMF? Take a look at its other fundamentals here.

ASX:IMF Future Profit Jan 26th 18
ASX:IMF Future Profit Jan 26th 18

Pinnacle Investment Management Group Limited (ASX:PNI)

Pinnacle Investment Management Group Limited operates as an investment management company in Australia. Founded in 1895, and run by CEO Ian Macoun, the company size now stands at 125 people and with the company’s market capitalisation at AUD A$738.68M, we can put it in the small-cap category.

PNI’s forecasted bottom line growth is an optimistic double-digit 32.62%, driven by the underlying double-digit sales growth of 47.54% over the next few years. Profit growth, coupled with top-line expansion, is a positive indication. This is because net income isn’t artificially inflated by unsustainable activities such as one-off cost-reductions expected in the future. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a high double-digit return on equity of 38.55%. PNI’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Thinking of investing in PNI? Check out its fundamental factors here.

ASX:PNI Future Profit Jan 26th 18
ASX:PNI Future Profit Jan 26th 18

Westgold Resources Limited (ASX:WGX)

Westgold Resources Limited engages in the exploration, development, mining, and treatment of gold assets in Western Australia. Established in 1987, and now run by Peter Cook, the company size now stands at 371 people and with the company’s market cap sitting at AUD A$580.60M, it falls under the small-cap group.

WGX is expected to deliver an extremely high earnings growth over the next couple of years of 50.11%, driven by a positive double-digit revenue growth of 37.14% and cost-cutting initiatives. 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 WGX, it does not appear extreme. This prospective profitability should trickle down to shareholders, with analysts expecting the company to generate a high double-digit return on equity of 22.99%. WGX’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Could this stock be your next pick? Check out its fundamental factors here.

ASX:WGX Future Profit Jan 26th 18
ASX:WGX Future Profit Jan 26th 18

For more financially robust companies with high growth potential to enhance your portfolio, use our free platform to explore our interactive list of these stocks.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.

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