Even if you didn't know about some of the market's hottest stocks like the explosive little stock Liquefied Natural Gas Limited (ASX: LNG) rising 10 times in the last year, there were still great one-year gains of big name stocks that rose over 50%.
Here are three stocks in the S&P ASX 100 Index (ASX: ^XTO) that exceeded the 50%+ mark over the past 12 months. If you had but one of them in your portfolio, you would be very pleased with yourself, but just imagine the size of your return if you had held all three!
— REA Group Limited (ASX: REA)
Serial strong grower and operator of the number one property search website realestate.com.au is up about 54%. It has established itself as the site to be at if you're buying or selling property and its sought after services command a premium which push earnings up higher and higher.
Some realtors are complaining that the company is raising prices too much and want to start up a rival website, but as the market leader it shouldn't have much to fear. I love the competitive advantages it has. Still, with a high 39 PE, it may not be in many value investors' portfolios.
— SEEK Limited (ASX: SEK)
The leading job search website and educational training service provider is continuing its growth into Asia. It recently floated the number one job search website in China, Zhaopin, on the New York Stock Exchange, retaining about a 67% stake in the company. Other acquisitions have it growing strongly in Malaysia, Singapore, Hong Kong and the Philippines. Its pre-eminence in Australia is still just as firm and growing.
The stock has pulled ahead, gaining about 70% in the last year. I would wait for more of a pullback just to see if it cools off a bit from the acquisition trail. However, you may not be able to wait too long before it resumes its climb. Put this one on the shopping list for any market correction that befalls us.
— Challenger Ltd (ASX: CGF)
This investment management firm squeezed past Seek to gain about 76% in the last twelve months. It hit a sweetspot with the growing superannuation industry and the great demand for annuities and other long-term products that can supplement super for more retirement income.
It plans to expand into self-managed super fund related services as the number of Australians who want to retire well and take charge of their investments increases. This quiet achiever could have many more years of growth, but doesn't have a bloated PE ratio. This could be a steady earner for your portfolio and offers a decent 3.1% dividend yield.
