Growth Stocks

Growth stocks are companies that are likely to have sales and earnings growth well above market average. Frequently they pay few, if any, dividends. Instead they typically reinvest any extra cash flow to promote further growth. Chosen wisely—according to Pat McKeough’s advice—high-quality growth-oriented stocks can be worthwhile additions to most well-diversified portfolios.

Although growth stock picks can be highly volatile, they can make good long-term investments. They may be well-known stars or quiet gems, but they do share one common attribute—they are growing at a higher-than-average rate within their industry, or within the market as a whole, and could keep growing for years or decades.

And keep in mind that we focus on growth stocks, which have a good long-term history and favourable prospects. We downplay momentum stocks that tend to attract many investors simply because they are moving faster than the market averages, but are liable to fall sharply when their momentum fades.

There’s room for growth stock investing in your portfolio, but make sure you follow our TSI Network three-part Successful Investor strategy for your overall portfolio:

  1. Invest mainly in well-established companies;
  2. Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
  3. Downplay or avoid stocks in the broker/media limelight.

Make better stock picks when you read this FREE Special Report, Canadian Growth Stocks: WestJet Stock, RioCan Stock and More.

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Growth Stocks Post Archives

CGI Inc. is set to expand aggressively

CGI Inc. is set to expand aggressively

COVID-19 hurt the company’s ability to visit clients and secure new computer outsourcing contracts, but the new vaccines should accelerate demand for the firm’s services.

This is why the company feels it can double its annual revenue in the next five to seven years. A rising… Read More

Ball Corporation just lifted earnings 25.3%

Ball Corporation just lifted earnings 25.3%

A Member of Pat McKeough’s Inner Circle recently asked for his advice on a metal packaging company that serves the aerospace, beverage, food and consumer-products industries.

Pat likes the company’s rising revenue and earnings and its ability to capitalize on rising demand for metal packaging due… Read More

Get a 5% yield from Abbvie Inc.

Get a 5% yield from Abbvie Inc.

We continue to see attractive investment opportunities for our subscribers in top drug stocks, including this one. We also like spinoffs, which are about as close as you can get to a sure thing in investing.

This company combines both themes and we feel further… Read More

Earnings jumped 16.5% at ResMed Inc.

Earnings jumped 16.5% at ResMed Inc.

Improved sales of equipment and associated services led to an 8.7% revenue jump for this company during the most-recent quarter. The pandemic should help keep demand high in the near term, but the company’s long-term prospects are just as bright.

RESMED INC. (Symbol RMD on New… Read More

Digital sales grew 45% at Yum! Brands Inc.

Digital sales grew 45% at Yum! Brands Inc.

The COVID-19 pandemic hurt the share price for both Yum Brands and its Yum China spinoff in 2020. However, they have since rebounded strongly as their well-established takeout and delivery services cut their reliance on in-store diners.

The stock trades at 26.1 times the company’s 2020… Read More

Goodfood Market Corp.’s revenues just grew 62.4%

Goodfood Market Corp.’s revenues just grew 62.4%

Improved subscription sales and a new premium service led to a 33% jump in this company’s subscriber base.
Those higher sales offset increased marketing costs as the firm trimmed losses.
GOODFOOD MARKET CORP. (Toronto symbol FOOD; www.makegoodfood.ca) gives you exposure to Canada’s growing meal-kit business. The company… Read More

Get a 1.4% yield from Warner Music Group

Get a 1.4% yield from Warner Music Group

The company’s recent IPO success despite COVID-19 volatility just illustrates the music industry’s growing strength.

The firm continues to benefit from that growth, with strong demand from music-streaming services such as Spotify and Apple Music. A full 73% of its sales now come from digital music.

WARNER… Read More