The 4 share growth portfolio that could change your life

You don’t have to speculate with micro-caps to set yourself up for a comfortable retirement.

| More on:
a woman

With the end of financial year fast approaching investors are preparing themselves for an onslaught of bad news and weak earnings reports. The retail sector has taken centre stage over the past week with a multitude of retailers including Reject Shop Ltd (ASX: TRS) announcing downgrades.

The news from the resources sector and mining services stocks is unlikely to fare any better either, with investors having already substantially downgraded their expectations for commodity-exposed companies. In fact, across the board, market pundits are expecting a lacklustre upcoming reporting season, however amongst the rubble there will be some gems.

More importantly, there are some gems which not only have strong historic earnings growth, but that continue to have great future prospects. The following four companies should grow earnings significantly in coming years, making them worthy contenders for addition to a long-term growth portfolio.

Slater & Gordon Limited (ASX: SGH) has provided shareholders with a total shareholder return (TSR) of 26.7% over the past five years. With analyst consensus estimates (provided by Morningstar) suggesting double digit earnings growth over the next two years and the stock trading on a reasonable price-to-earnings ratio (PE) of 17.3, it looks an enticing long-term bet.

Ainsworth Game Technology Limited (ASX: AGI) has provided an outstanding TSR of 124% to its shareholders over the past five years and with strong earnings growth forecast over the next two years, coupled with a 17.7 PE multiple, this gaming company looks like an appealing contender for a growth portfolio.

Ardent Leisure Group (ASX: AAD) has also produced exceptional TSR of 23.1% over the last half decade. A defensive asset base, a PE of 18.8 and forecast earnings and dividend growth make Ardent another worthy stock to consider.

Amcom Telecommunications Limited (ASX: AMM) boasts a TSR of 49.4% for the past five years and forecast earnings growth of around 15% and 20% respectively for the next two years. Given the long-term outlook for telecommunications is good, the PE of 21.6 doesn’t appear excessive.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of January 12th 2022

Motley Fool contributor Tim McArthur does not own shares in any of the companies mentioned in this article.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

The share price of ASX infant products retailer Baby Bunting Group Ltd (ASX:BBN) has been a solid performer so far …

Read more »

woman holds sign saying 'we need change' at climate change protest

3 ASX ETFs that invest in companies fighting climate change

A new landmark report by the Intergovernmental Panel on Climate Change (IPCC) was released earlier this week. It provided a …

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest …

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos Limited (ASX: AMS) share price has been on a tear this past week, rising 15% on the back …

Read more »

asx share price competitions represented by businessmen arm wrestling
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

Online furniture retailer Temple & Webster Group Ltd (ASX: TPW) had a breakout year in 2020, moving from relative obscurity …

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

Shares in ASX healthcare company Polynovo Limited (ASX: PNV) almost doubled in price last year. And, despite a shaky start …

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

Investing in other geographic markets has become a popular way to diversify a portfolio. The risks associated with being exposed …

Read more »

person reading news on mobile phone
⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

Despite the News Corporation (ASX: NWS) share price getting a 31% bump between November last year and today, News Corp …

Read more »