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10 growth shares I’m tipping to shine in 2017

Although Bellamy’s Australia Ltd (ASX: BAL) and Sirtex Medical Limited (ASX: SRX) have had a disappointing end to 2016, there are still a wide range of growth shares which have performed strongly this year.

I expect more of the same in 2017 and so I’m tipping the following 10 growth shares to provide investors with strong gains.

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

This growing dairy company appears to have avoided a slowdown in business in the China market. A recent update revealed that strong Chinese Singles day volume sales led to a2 Platinum Stage 3 formula being in the top 10 Singles day products across all categories on Chinese e-commerce giant JD.com. I expect the company to build on this next year.

Ardent Leisure Group (ASX: AAD)

Ardent Leisure has just announced the sale of its d’Albora Marinas portfolio for $126 million. These funds are likely to be used to accelerate the expansion of its lucrative Main Event centres in the United States. Currently there are 27 centres operating, but management is targeting upwards of 200 in total.

Bionomics Ltd (ASX: BNO)

Thanks partly to its relationship with US-pharma giant Merck & Co., I believe this biopharmaceutical company has a bright future ahead of it. Bionomics has a growing pipeline of drugs for the treatment of anxiety, ADHD, Alzheimer’s, chronic pain, and colorectal cancer.

BWX Ltd (ASX: BWX)

BWX is the company behind the Sukin skincare brand. The product has just launched in the United Kingdom through the Boots pharmacy chain. Together with the strong progress the company has made in China, this should be a big lift for international sales in FY 2017.

ChimpChange Ltd (ASX: CCA)

Yesterday, this exciting digital banking company released another operational update which revealed that its strong growth continued in November with a further 7,700 new banking customers. A host of new features are due for release in the coming months, which I expect will drive interest and growth in transactions.

Capilano Honey Ltd (ASX: CZZ)

This Australian honey business had a strong FY 2016 thanks partly to growth in the China market. Exports into China rose 56.9% year-on-year helping the company deliver net profit after tax growth of 20.9%. I expect another strong year ahead in FY 2017.

Freelancer Ltd (ASX: FLN)

It hasn’t been a great year for Freelancer shareholders. Year to date its shares are down a whopping 42%. But at the current price I believe the company offers investors a great risk/reward and expect a vastly improved performance next year.

Mayne Pharma Group Ltd (ASX: MYX)

This pharmaceutical company has come under fire in recent weeks after investors nervous about price-fixing allegations by the U.S. Department of Justice sold the stock. I believe the sell-off has created a great long-term buy and hold entry point.

TPG Telecom Ltd (ASX: TPM)

At just 16x estimated FY 2017’s earnings this telco giant is in bargain territory as far as I’m concerned. Whilst there are concerns over how the NBN will impact its margins, the company plans to combat this through its own high-margin fibre network. I expect a solid rebound in 2017, which makes this a great time to invest.

Webjet Limited (ASX: WEB)

The online travel agent has had an incredible year and I expect the run to continue next year as well. Last month management provided normalised FY 2017 EBITDA guidance of $60 million. If it delivers on this it will mean earnings growth of 64% on last year’s result.

Finally, if you're still looking for even more growth share ideas then the smart money is on these hot stocks being big winners in 2017. Is yours?

Big, Fat, Dividends

This company's dividend is almost the stuff of legends. Its reliable cash flows support a high payout ratio, and the company's stash of franking credits are the cherry on the top of the dividend cake. Based on the last 12-months of dividends, shares are offering a fully-franked 6.5% yield, which grosses up to a whopping 9.3%, when those franking credits are included.

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Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia owns shares of A2 Milk, Bellamy's Australia, BWX Limited, and Capilano Honey 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.

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