Yahoo Finance Financially Sounds Stocks Poised For High Growth
Baozun and Weibo can add profound upside to your portfolio. This is because the optimistic growth outlook for their profitability and returns make their high-growth potential appealing relative to their peers. 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.
Baozun Inc. (NASDAQ:BZUN)
Baozun Inc. provides e-commerce solutions for brand partners in the People’s Republic of China. Established in 2007, and run by CEO Wenbin Qiu, the company now has 3,994 employees and with the company’s market cap sitting at USD $3.39B, it falls under the mid-cap group.
BZUN’s forecasted bottom line growth is an optimistic double-digit 48.97%, driven by the underlying 71.88% sales growth 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 high double-digit return on equity of 26.77%. BZUN ticks the boxes for high-growth generation on all levels of line items, which makes it an appealing stock to dig into deeper. Could this stock be your next pick? Take a look at its other fundamentals here.
Weibo Corporation (NASDAQ:WB)
Weibo Corporation, through its subsidiaries, operates as a social media platform for people to create, distribute, and discover Chinese-language content. Founded in 2009, and headed by CEO Gaofei Wang, the company now has 3,361 employees and with the company’s market cap sitting at USD $22.77B, it falls under the large-cap group.
WB’s projected future profit growth is a robust 33.62%, with an underlying triple-digit growth from its revenues expected over the upcoming years. It appears that WB’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 return on equity coming in at a notable 35.81%. WB’s impressive outlook on all aspects makes it a worthy company to spend more time to understand. Should you add WB to your portfolio? I recommend researching its fundamentals here.
TAL Education Group (NYSE:TAL)
TAL Education Group, through its subsidiaries, provides K-12 after-school tutoring services in the People’s Republic of China. Started in 2003, and currently run by Bangxin Zhang, the company size now stands at 20,240 people and with the company’s market capitalisation at USD $21.26B, we can put it in the large-cap stocks category.
TAL’s projected future profit growth is a robust 39.83%, with an underlying triple-digit 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. We see this bottom-line expansion directly benefiting shareholders, with expected return on equity coming in at a notable 26.52%. TAL’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? 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.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
