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Stocks that are expected to significantly grow their profitability in the future can add meaningful upside to your portfolio. Food Empire Holdings and Hock Lian Seng Holdings are examples of many high-growth stocks that the market believe will be upcoming outperformers. 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.
Food Empire Holdings Limited (SGX:F03)
Food Empire Holdings Limited operates as a branding and manufacturing company specializing in the food and beverage industry. Food Empire Holdings was established in 1992 and with the stock’s market cap sitting at SGD SGD365.66M, it comes under the small-cap group.
F03’s forecasted bottom line growth is an optimistic 20.61%, driven by the underlying double-digit sales growth of 13.57% over the next few years. 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 positive return on equity of 13.20%. F03’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Should you add F03 to your portfolio? Have a browse through its key fundamentals here.
Hock Lian Seng Holdings Limited (SGX:J2T)
Hock Lian Seng Holdings Limited, an investment holding company, primarily provides civil engineering services to public and private sectors in Singapore. Hock Lian Seng Holdings was started in 1969 and with the company’s market capitalisation at SGD SGD244.79M, we can put it in the small-cap group.
J2T’s projected future profit growth is a robust 15.76%, with an underlying 95.85% growth from its revenues expected over the upcoming years. It appears that J2T’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 12.00%. J2T’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. Thinking of investing in J2T? Check out its fundamental factors here.
Golden Energy and Resources Limited (SGX:AUE)
Golden Energy and Resources Limited engages in the exploration, mining, and marketing of thermal coal in Indonesia. Started in 1997, and run by CEO Fuganto Widjaja, the company currently employs 380 people and with the company’s market cap sitting at SGD SGD976.54M, it falls under the small-cap category.