Whether the market is going up or down, companies which impress investors can still do well – although the tailwind of a bull market certainly helps!
Despite all kinds of macroeconomic concerns which are aired and analysed on a daily basis – current worries include unemployment in the USA, the stalling Eurozone, house prices in Australia and growth rates in China – the stock prices of the following three established firms have all recently hit new all-time highs.
What’s more, each company has solid opportunities for growth which make these three stocks decent candidates to continue to hit new record highs in the future and also worthy of a place on your watchlist.
Many stocks reached staggering heights during 2007 before the onslaught of the global financial crisis (GFC) took hold and brought stocks crashing down. While many stocks are yet to recover, or may never recover to their previous highs again, Sonic Healthcare Limited (ASX: SHL) is an exception having recently climbed above its 2007-high and headed for the $18 mark.
Sonic’s share price gains have come on the back of a solid set of half-year results. On a constant currency basis the diagnostic service provider reported revenue growth of 4.4% and earnings per share (EPS) growth of 7.9%. Thanks to the weakening Australian dollar, at actual exchange rates revenue and EPS are up 11.9% and 16.1% respectively.
Like Sonic, Premier Investments Limited (ASX: PMV) has also just burst through the previous price record for the stock which was set pre-GFC. With the share price trading just cents away from the $10 mark, investors who picked up stock in the aftermath of the GFC when the shares fell to around $3.50 will be cheering.
The apparel retailer recently reported double-digit growth in earnings thanks in part to a particularly strong performance from its Smiggle brand which the company is finding it can successfully expand internationally.
Aurizon Holdings Ltd (ASX: AZJ) is a relatively new addition to the ASX. The company, which was formerly known as QR National, listed in late 2010 when it was sold by the Queensland Government.
Despite a tepid beginning and a number of sceptics, Aurizon has managed to defy its critics and continued to grow and expand. The rail freight operator’s share price has followed, with the stock recently hitting an all-time high of $5.26 after reporting underlying earnings growth of 19% thanks to record levels of coal and iron ore haulage.
All three of the above firms are run by managers who act in the interests of owners, with Sonic and Premier both still controlled by their founders. Importantly, each of these three companies has provided upbeat assessments for the full year which could provide shareholders with further share price gains.
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Motley Fool contributor Tim McArthur does not own shares in any of the companies mentioned in this article.
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