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
Medical stock expects more gain than pain from rapid growth by acquisition
While it is growing rapidly by acquisition, medical products firm Stryker Corp. also has some growing pains and uncertainty over the future of Obamacare.
3 min read
Pat McKeough
Growth Stocks
New issues or IPOs are a common venture capital financing exit strategy—but these IPOs don’t offer any extra appeal
IPOs, or new issues, can arise after venture capital financing, but these investments can lead to even lower returns
4 min read
Scott Clayton
Growth Stocks
This Canadian stock counts on 3-D software and a seasoned CEO
DIRTT Environmental’s customized office interiors benefit from special 3-D software and a savvy CEO, but this Canadian stock faces stiff competition.
3 min read
Pat McKeough
Growth Stocks
Stock sends money digitally, gets positive return
Now a specialist in money transfers, long-time telegraph operator Western Union is switching to digital delivery to ward off the competition.
3 min read
Pat McKeough
Growth Stocks
3 Growth Investing Strategies: Two we like—one we don’t
Growth investing can be beneficial to your portfolio returns—but not every strategy is money in the bank.
3 min read
Scott Clayton
Growth Stocks
This stock aims to clean up as industrial waste spreads
Clean Harbors Inc. keeps growing as it takes on more environmental and hazardous waste—and tries to control rising costs and high debt while it expands.
3 min read
Pat McKeough
Growth Stocks
Vast potential of Asia’s online giant comes with sizeable risk
Its online and mobile commerce make Alibaba Group Holding the largest company of its kind in the world, but its vast potential comes with risks.
3 min read
Pat McKeough
Growth Stocks
Growth vs Value Investing: Learn How These Strategies Can Complement Each Other
When comparing growth vs. value investing, it’s important to look at the pros and cons of each strategy
4 min read
Scott Clayton
Cyclical Stocks
Growth Stocks
CN Tower is highest on this Canadian growth stock’s list of landmarks
Aecon seems to be everywhere as one of Canada’s top infrastructure builders, but it’s subject to cyclical trends and government priorities.
1 min read
Pat McKeough
Growth Stocks
Home building builds big momentum for this Canadian stock
The shares of strand board maker Norbord Inc. have soared, but its high dividend yield may reflect worries that strand board prices have already peaked.
3 min read
Pat McKeough
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