Robust, high-growth companies such as Shanghai Haohai Biological Technology 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. 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.
Shanghai Haohai Biological Technology Co., Ltd. (SEHK:6826)
Shanghai Haohai Biological Technology Co., Ltd. Established in 2007, and headed by CEO Jianying Wu, the company provides employment to 1,036 people and with the company’s market cap sitting at HKD HK$6.84B, it falls under the mid-cap stocks category.
6826’s forecasted bottom line growth is an optimistic 19.16%, driven by the underlying 65.85% sales growth 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. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 15.12%. 6826’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Interested to learn more about 6826? Take a look at its other fundamentals here.
China Pioneer Pharma Holdings Limited (SEHK:1345)
China Pioneer Pharma Holdings Limited, an investment holding company, markets, promotes, and sells pharmaceutical products and medical devices in the People’s Republic of China, South East Asia, Europe, and Africa. Started in 1996, and currently headed by CEO Mengjun Zhu, the company employs 340 people and with the market cap of HKD HK$3.28B, it falls under the mid-cap group.
Driven by the positive double-digit sales growth of 39.05% over the next few years, 1345 is expected to deliver an excellent earnings growth of 15.62%. 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 26.75%. 1345’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. A potential addition to your portfolio? I recommend researching its fundamentals here.