Growth Stocks

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:

Invest mainly in well-established companies;
Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
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

Texas Roadhouse profits soar 32.3% as dine-in and digital sales strengthen

Texas Roadhouse reported 14.1% higher revenues and a huge 32.3% earnings gain as both its dine-in and digital business keep expanding.

2 min read

Scott Clayton

Growth Stocks

Agilent Technologies aims to capitalize on the gene-editing boom

Top pick Agilent Technologies’ $925 million acquisition should deliver long-term benefits in fast-growing areas such as gene-editing services.

2 min read

Jim Bates

Growth Stocks

Sphere Entertainment is growing revenues rapidly

Sphere Entertainment Co. sees a 112% revenue surge as it begins to capitalize on live events to drive growth and supplement its multiple income streams.

3 min read

Scott Clayton

Growth Stocks

Baxter International beats revenue estimates and posts a 23.6% earnings gain

Baxter International holds an industry-leading position in specialized hospital equipment which should become even more profitable due to strategic divestments.

2 min read

Scott Clayton

Growth Stocks

Atlas Engineered Products reported a 34.4% revenue increase

Atlas Engineered Products continues to report higher revenue and earnings as it makes an acquisition and seeks to improve its operations with robotic manufacturing.

2 min read

Scott Clayton

Growth Stocks

Stantec’s stock outperforms the S&P 500 by nearly 3X over 5 years

Top performer Stantec Inc. is perfectly positioned to capitalize on massive government infrastructure spending with a strong foothold in critical growth areas.

2 min read

Jim Bates

Growth Stocks

Yum Brands’ Digital Sales Now Exceed 50% of Revenue

Yum Brands continues to expand digital sales with a 100% sales target more than halfway realized as it continues to aggressively open new stores and grow revenues.

2 min read

Jim Bates

Growth Stocks

Rockwell Automation should benefit from multiple long-term trends

Rockwell Automation should benefit from key trends such as computer chip advances, electric vehicles, and EV battery manufacturing coming to the U.S.

3 min read

Scott Clayton

Growth Stocks

Toromont Industries expands rental operations for additional long-term growth

Toromont Industries Ltd. enjoys a strong market position boosted by an infrastructure spending tailwind as it maintains robust financial health.

3 min read

Jim Bates

Growth Stocks

Warner Music Sees 13.7% Profit Surge Despite Revenue Dip

Warner Music reported a 13.7% profit gain despite a slight revenue reversal as its valuable content library delivers a recurring stream of royalties.

2 min read

Scott Clayton

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Power and Profits of Energy Stocks

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Browse Topics

Blue Chip Stocks

Blue chip stocks are big, well-established, dividend-paying corporations with strong business prospects. These are companies that also have sound management that should be able to make the right moves to keep competing successfully in a changing marketplace.

Dividend Stocks

Dividend stocks make cash payouts that serve as a way for companies to share the wealth they’ve accumulated. These payouts are drawn from earnings and cash flow and paid to the shareholders of the company. Typically, these dividends are paid quarterly, although they may be paid annually or even monthly as well.

Value Stocks

What are value stocks?

One of the sweetest and most profitable pleasures of successful investing is to buy high-quality “value stocks” (or stocks that are reasonably priced, if not cheap, in relation to its sales, earnings or assets), then hold on to them as mainstream investors recognize the value and push up the share price.

Growth Stocks

ETFs

What are ETFs?

ETF is an acronym for exchange traded fund.. These exchange traded funds are used to track indexes as closely as possible, since investors cannot actually buy an index outright.

How To Invest

Pat McKeough has been making investing for beginners simple—and profitable—by helping investors make big gains for more than 25 years. His advice to beginning investors is the same as it is for all investors: buy high-quality, mostly dividend paying stocks (or ETFs that hold these stocks) and evenly spread your investments over the five main economic sectors (Resources, Manufacturing, Finance, Utilities and Consumer). Pat also believes investors should avoid stocks in the broker/media limelight and focus on those with hidden or little-noticed assets.

Wealth Management

Wealth management is the practice of putting your savings to work so that it continues to grow over your lifetime and will also benefit your heirs. Wealth management encompasses many different areas of investing like long term investment planning and retirement planning.

AI Investing

Artificial intelligence (AI) is essentially the merging of today’s big computing with big data. This has resulted in breakthroughs in everything from creating machines to recognize faces with more accuracy than a human, to the development of chatbots able to collect, organize and simplify all the Internet has to say on any topic.

Spinoffs

One of the ways a company can try to unlock its own hidden value is by creating a separate company out of a corporate subsidiary. The parent company can either sell stock in the new company to the public, or spin it off—hand the stock out to its own investors.

Penny Stocks

A penny stock in general trades for under five dollars a share, and as the name implies, sometimes for pennies. Most of the time they’re young companies, or start-ups in speculative markets like mining or technology.

Mining Stocks

Mining stocks are investments in companies that produce or explore for minerals. Some of these minerals include uranium, coal, molybdenum (which is used in steelmaking), copper, silver and gold. They are affected by fluctuating commodity prices in addition to their own business and operating risks.

Energy Stocks

What are energy stocks?

Businesses that work in the extraction, refining and delivery of energy sources such as natural gas, oil, uranium and coal, are considered energy stocks.