Stocks that are expected to significantly grow their profitability in the future can add meaningful upside to your portfolio. V-Guard Industries and Jubilant FoodWorks are examples of many high-growth stocks that the market believe will be upcoming outperformers. I would suggest taking a look at my list of companies that compare favourably in all criteria, and consider whether they would add value to your current portfolio.
V-Guard Industries Limited (BSE:532953)
V-Guard Industries Limited, a consumer electrical company, manufactures, trades, and sells electrical/electro mechanical and electronic goods in India and internationally. Started in 1977, and now led by CEO Mithun Chittilappilly, the company provides employment to 1,944 people and has a market cap of INR ₹90.74B, putting it in the large-cap category.
532953’s forecasted bottom line growth is an optimistic double-digit 30.41%, driven by the underlying double-digit sales growth of 35.33% over the next few years. It appears that 532953’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 25.11%. 532953’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 532953? Other fundamental factors you should also consider can be found here.
Jubilant FoodWorks Limited (BSE:533155)
Jubilant FoodWorks Limited operates as a food service company. Jubilant FoodWorks was established in 1995 and with the company’s market cap sitting at INR ₹182.16B, it falls under the large-cap stocks category.
533155’s forecasted bottom line growth is an optimistic double-digit 25.02%, driven by the underlying double-digit sales growth of 34.33% 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 return on equity coming in at a notable 29.06%. 533155’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Should you add 533155 to your portfolio? Take a look at its other fundamentals here.
RBL Bank Limited (BSE:540065)
RBL Bank Limited operates as a scheduled commercial bank in India. Established in 1943, and now run by Vishwavir Ahuja, the company provides employment to 4,902 people and has a market cap of INR ₹235.43B, putting it in the large-cap stocks category.
540065’s projected future profit growth is a robust 26.36%, with an underlying 96.28% growth from its revenues expected over the upcoming 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 positive return on equity of 16.07%. 540065 ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Thinking of investing in 540065? I recommend researching its fundamentals here.
For more financially robust companies with high growth potential to enhance your portfolio, explore this interactive list of fast growing companies.