I believe the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is home to a number of high quality growth shares.
But with so many to choose from it can no doubt be hard for investors to decide which to invest their hard earned money into.
To help narrow it down I thought I would pick out three of my favourite growth shares on the benchmark index. They are as follows:
Although the Altium Limited (ASX: ALU) share price has risen 26% in the last 12 months, I believe its strong growth prospects still make it a great option for investors today. I see Altium and its printed circuit board (PCB) design software as being a big winner from the incredible rise in connected devices. According to research firm Gartner, there will be 20.8 billion connected devices in use worldwide by 2020, up from an estimated 6.4 billion last year. As PCBs are required in the majority of these connected devices, I expect demand for its software will continue to rise strongly.
The Corporate Travel Management Ltd (ASX: CTD) share price has also been a big mover, climbing 41% in the last 12 months. This huge gain will come as no surprise to many investors. Thanks to successful acquisitions and further market share gains, the corporate travel specialist recently advised that it is trading at the top end of its full-year underlying EBITDA guidance range at $97 million. This equates to a year-on-year increase of 40.6%. Whilst its days of a bargain buy may be long gone, even at 34x estimated FY 2017 earnings I see significant value for patient buy and hold investors.
Unlike the others, the Domino's Pizza Enterprises Ltd. (ASX: DMP) share price has underperformed the market during the last 12 months. Allegations of the underpayment and mistreatment of employees by franchisees has weighed heavily on its shares in recent months. Whilst these allegations are a concern, I believe the sell-off that ensued was largely overdone and has left its shares trading at an attractive level. With management expecting net profit after tax growth of at least 32.5% in FY 2017, this is a growth share that I would want in my portfolio.
