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.
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In the quarter ended December 31, 2018, sales fell 2.8%, to $6.77 billion from $6.97 billion a year earlier....
In the past few years, activist investment firms have pressured ABB and BHP to sell their unprofitable operations. That has freed up cash for share buybacks and dividends.
ABB LTD. ADRs $20 (New York symbol ABB; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 2.1 billion; Market cap: $42.0 billion; Price-to-sales ratio: 1.2; Dividend yield: 4.1%; TSINetwork Rating: Above Average; www.abb.com) makes transformers, transmission systems and circuit breakers for electrical utilities....
These four technology companies continue to invest heavily in research. While that spending depresses their current earnings, it also helps them develop profitable new products to spur earnings for years to come.
INTEL CORP. $51 (Nasdaq symbol INTC; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 4.5 billion; Market cap: $229.5 billion; Price-to-sales ratio: 3.3; Dividend yield: 2.5%; TSINetwork Rating: Above Average; www.intel.com) is the world’s leading maker of computer chips: its products power 80% of all personal computers.
In the quarter ended December 29, 2018, Intel’s revenue rose 9.4%, to $18.66 billion from $17.05 billion a year earlier....
RESTAURANT BRANDS INTERNATIONAL $64.46 (New York symbol QSR; TSINetwork Rating: Average) (905-845-6511; www.rbi.com; Shares o/s: 478.0 million; Market cap: $30.8 billion; Divd. yield: 3.1%) is the world’s third-largest fast-food operator after McDonald’s (No....
That privately held firm is based in France and specializes in 3D backgrounds and material creation for video games and video post-production....
SYMANTEC CORP. $23.02 (Nasdaq symbol SYMC; TSINetwork Rating: Average) (650-527-8000; www.symantec.com; Shares outstanding: 638.9 million; Market cap: $14.7 billion; Dividend yield: 1.3%) sells computer-security technology, including antivirus and email-filtering software, to businesses and consumers.
Symantec’s revenue in the fiscal 2019 third quarter, ended December 31, 2018, rose only slightly, to $1.211 billion from $1.209 billion a year earlier....
In the three months ended December 31, 2018, and excluding one-time items, Shopify made $27.9 million, or $0.26 a share....