Stocks that are expected to significantly grow their profitability in the future can add meaningful upside to your portfolio. Tidewater Midstream and Infrastructure and Alamos Gold 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.
Tidewater Midstream and Infrastructure Ltd. (TSX:TWM)
Tidewater Midstream and Infrastructure Ltd. Tidewater Midstream and Infrastructure was started in 2015 and with the company’s market cap sitting at CAD CA$457.43M, it falls under the small-cap category.
TWM’s projected future profit growth is a robust 39.25%, with an underlying 33.20% growth from its revenues expected over the upcoming years. It appears that TWM’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 9.94%. TWM’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 TWM? Other fundamental factors you should also consider can be found here.
Alamos Gold Inc. (TSX:AGI)
Alamos Gold Inc., together with its subsidiaries, engages in the acquisition, exploration, development, and extraction of gold deposits in North America. The company provides employment to 1752 people and with the company’s market capitalisation at CAD CA$2.61B, we can put it in the mid-cap category.
AGI is expected to deliver an extremely high earnings growth over the next couple of years of 50.56%, driven by a positive double-digit revenue growth of 30.51% 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 AGI, it does not appear extreme. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 7.99%. AGI’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Should you add AGI to your portfolio? Check out its fundamental factors here.
Trican Well Service Ltd. (TSX:TCW)
Trican Well Service Ltd., an oilfield services company, provides various specialized products, equipment, services, and technology for use in the drilling, completion, stimulation, and reworking of oil and gas wells primarily in Canada. Started in 1979, and now run by Dale Dusterhoft, the company employs 1,194 people and with the market cap of CAD CA$1.00B, it falls under the small-cap category.
Extreme optimism for TCW, as market analysts projected an outstanding earnings growth rate of 53.05% for the stock, supported by an equally strong sales growth of 50.65%. 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 9.70%. TCW’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Want to know more about TCW? Other fundamental factors you should also consider can be found here.
For more financially robust companies with high growth potential to enhance your portfolio, explore this interactive list of fast growing companies.