Oil Search Limited
Results released this week from Oil Search Limited (ASX: OSH) were very positive and showed that the company is making progress. For example, net profit for 2014 soared by 72% to $455 million even after write-downs of $167 million were taken into account, with the company apparently defying the oil price collapse that has hit many of its competitors.
In fact, Oil Search believes that it could double production by early next decade due to its liquefied natural gas (LNG) potential in Papua New Guinea. As such, it remains a great long-term stock and, even though its shares have underperformed the ASX since the turn of the year (they are up 5% while the ASX is up 9%), they look set to outperform the wider index over a longer timeframe. As a result, they seem to be worth buying right now.
Amcor Limited
Even though shares in Amcor Limited (ASX: AMC) have risen by just 3% since the turn of the year, they continue to offer excellent growth potential. In fact, holding them over the last 10 years has been a very worthwhile exercise, with Amcor delivering an annualised total return of 13.9% during the period.
Amcor has an excellent track record of growth with, for example, it having increased its bottom line at an annualised rate of 16.5% over the last five years. With its exposure to fast-growing emerging markets, it could continue to offer strong growth numbers, thereby reversing its recent underperformance of the ASX.
Transurban Group
Shares in Transurban Group (ASX: TCL) are only slightly behind the ASX thus far this year and could make for a great investment. That's because the company's revenue is less dependent on the performance of the wider economy than most stocks are, which affords investors in Transurban a significant amount of confidence that it will deliver upbeat earnings growth over the long term.
And, while there is a sense of optimism among investors right now, history tells us that no economic rebound is ever a smooth one. As such, more defensive stocks such as Transurban could be worthy of a place in investors portfolios, with its 4% yield also offering a sound income.
