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
How to Start Successfully Investing in Tech Stocks using a Long-Term Approach—just like Warren Buffett
The best strategy for successfully investing in tech stocks includes—above all—finding companies that invest heavily in research and development.
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Canadian auto stock continues to roll out aggressive strategy
With 57 dealerships across the country, AutoCanada continues to see its new car sales rise, but its growth-by-acquisition strategy adds risk.
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Canadian stock adds key U.S. acquisition to its satellite network
MacDonald Dettwiler and Associates strengthens its position in satellite communications with a U.S. acquisition, but reliance on government money can be risky.
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3 tips to improve your aggressive investing success
Aggressive investing involves higher levels of risk—but there are ways to cut that risk.
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Canadian stock re-fuels with regular acquisitions
A growth-by-acquisition strategy helped Parkland Fuel Corp. reach a new high—and sustain a high yield—but it comes with extra risk and added debt.
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Happy ending may be elusive for Canadian theatre chain
After several good years, the shares of Cineplex Inc. have fallen off and the company aims to broaden its appeal to resist the rise of home entertainment.
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This stock strives to beat the high costs of clean power
Engineering/construction firm Chicago Bridge & Iron strives to bring a new clean energy process to fruition despite business setbacks and high debt.
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Growth Stocks
Top guidelines for a successful growth investment strategy
The most successful investors follow a sound growth investment strategy. Here are some top tips.
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Versatile stock takes care of retail payments and hands out loans
Payment processing firm Square Inc. not only competes with Apple and PayPal, it’s also expanding its business loans subsidiary and aiming to found a bank.
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Demand for lithium has this stock rising
As demand for lithium increases, specialty chemical firm Albemarle Corp. snaps up lithium salt deposits and builds its profits—as long as prices stay up.
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Pat McKeough
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