Growth Stocks Investors Love

Companies such as Emblem and SEMAFO have a significantly positive future outlook on the basis of their profitability and returns. Investors seeking to enhance their portfolio should consider these financially stable, 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.

Emblem Corp. (TSXV:EMC)

Emblem Corp. produces, distributes, and sells medical cannabis and cannabis derivatives in Canada. The company currently employs 42 people and with the company’s market cap sitting at CAD CA$183.73M, it falls under the small-cap stocks category.

EMC’s forecasted bottom line growth is an exceptional triple-digit, driven by underlying sales, which is expected to more than double, 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. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 4.92%. EMC ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Considering EMC as a potential investment? Other fundamental factors you should also consider can be found here.

TSXV:EMC Future Profit Jun 4th 18
TSXV:EMC Future Profit Jun 4th 18

SEMAFO Inc. (TSX:SMF)

SEMAFO Inc., a mining company, engages in the exploration, development, and operation of gold properties in West Africa. Formed in 1994, and headed by CEO Benoit Desormeaux, the company provides employment to 1,034 people and with the market cap of CAD CA$1.16B, it falls under the small-cap stocks category.

Extreme optimism for SMF, as market analysts projected an outstanding earnings growth rate of 78.82% for the stock, supported by an equally strong sales. 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. We see this bottom-line expansion directly benefiting shareholders, with expected positive return on equity of 11.71%. SMF’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. Should you add SMF to your portfolio? Take a look at its other fundamentals here.

TSX:SMF Future Profit Jun 4th 18
TSX:SMF Future Profit Jun 4th 18

Ballard Power Systems Inc. (TSX:BLDP)

Ballard Power Systems Inc. engages in the design, development, manufacture, sale, and service of proton exchange membrane (PEM) fuel cell products worldwide. Started in 1979, and run by CEO R. MacEwen, the company employs 395 people and with the company’s market cap sitting at CAD CA$700.56M, it falls under the small-cap category.

BLDP’s forecasted bottom line growth is an exceptional 71.95%, driven by the underlying double-digit sales growth of 29.89% over the next few years. Though some cost-cutting activities may artificially inflate margins, it appears that this isn’t solely the case here, as profit growth is also coupled with top-line expansion. BLDP’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. Could this stock be your next pick? Other fundamental factors you should also consider can be found here.

TSX:BLDP Future Profit Jun 4th 18
TSX:BLDP Future Profit Jun 4th 18

For more financially robust companies with high growth potential to enhance your portfolio, explore this interactive list of fast growing companies.