The Motley Fool

Beat the Trump slump with 4 bargain shares

Yesterday the unthinkable happened and Donald Trump won the race to become the 45th President of the United States. The shock result caused markets around the world to crumble as investors fled to safe haven assets.

In my opinion the sell off was a huge overreaction. But as disappointing as it was, it has created a number of bargain opportunities for investors. Here are four post-election bargains to consider:

a2 Milk Company Ltd (Australia) (ASX: A2M)

The shares of this leading dairy company fell 5% yesterday, wiping out almost all of its gains from the day before. On Tuesday a2’s shares rocketed higher after the release of its first quarter results which revealed a 40% increase in revenue on the prior corresponding period. A key driver of the result appears to be the sustained demand for its products from the China market.

Appen Ltd (ASX: APX)

Appen was one of the hardest hit shares yesterday, falling a massive 9%. This means the leading language services and technology company’s shares are now changing hands at just 24x estimated FY 2017’s earnings. According to CommSec, analysts expect Appen to grow earnings by 25% per year for at least the next couple of years. In my opinion this makes it a great time to make an investment in the company.

Class Ltd (ASX: CL1)

Fintech star Class fell almost 6% yesterday, extending its one-month decline to 16.5%. Although its shares are still priced at a premium over the market average, I believe the growth the company has been exhibiting warrants its rise. In the most recent quarter Class added 11,880 billable SMSFs to it Class Super platform. This brought the total to 122,494, which is the equivalent of a 20.9% market share.

Corporate Travel Management Ltd (ASX: CTD)

Although Corporate Travel Management only fell around 3.5%, I think investors should seize any opportunity they get to buy this quality company at a cheaper price. At 28x estimated FY 2017 earnings its shares may not appear cheap, but the explosive growth that it has produced justifies the premium in my opinion.

Finally, these three rapidly growing shares could be just as good to invest in. Do you own them yet?

Why These 3 Blue Chip Shares Are Set to Soar for Smart Investors

Discover The Motley Fool's Top 3 blue chips for Smart Investors. These 3 'new breed' shares pay fully franked dividends AND offer the prospect of significant capital appreciation. Simply click here to gain access to this comprehensive FREE investment report.

No credit card required!

Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia owns shares of A2 Milk, Class Limited, and Corporate Travel Management Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

NEW. Five Cheap and Good Stocks to Buy in 2019…

Our Motley Fool experts have just released a brand new FREE report, detailing 5 dirt cheap shares that you can buy today.

One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…

Another is a diversified conglomerate trading near a 52-week low all while offering a 2.8% fully franked yield…

Plus 3 more cheap bets that could position you to profit over the next 12 months!

See for yourself now. Simply click the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.