Not having to work ever again is a goal for many people. The best way to achieve this in my opinion is to invest in shares because the share market has provided the best returns over the long term.
However, it's important that investors choose the right type of businesses. In my opinion they need to be dependable, growing businesses that churn out a good source of income. Here are four of my stock ideas to retire early with:
Greencross Limited (ASX: GXL) is Australia's largest pet business with a large network of veterinary clinics and Petbarn retail stores.
The number of pets in Australia is growing with the human population. Greencross is also trying to grow its market share of the pet industry in Australia to 20%. Tactics such as co-locating a Greencross vet inside a Petbarn is a great strategy to grow profit.
Greencross is trading at 17.7x FY17's estimated earnings with a grossed-up dividend yield of 3.76%.
Vocus Group Ltd (ASX: VOC) is one of Australia's largest telecommunications businesses. It has several brands such as Dodo, iPrimus and Commander to service different clients.
The amount of data that Australians use is growing every year. Vocus can benefit from this with its large network of its own cables in Australia and connecting to other countries.
Vocus is trading at 13x FY17's estimated earnings with a grossed-up dividend yield of 4.61%.
Arena REIT No 1 (ASX: ARF) is a real estate investment trust (REIT) that focuses on owning childcare centres and leasing them to for-profit and not-for-profit childcare operators. It also owns a handful of healthcare buildings.
Childcare is a growing industry and Arena is tapping into this success as shown by its growing profit and distributions.
Arena is trading with an unfranked dividend yield of 5.54%.
Healthscope Ltd (ASX: HSO) is Australia's second largest private hospital operator. Its share price has taken a beating in recent months, but it could be on for a strong recovery in my opinion.
It has a number of large projects being constructed which should be a big boost to revenue and profit when completed.
Healthscope is trading at 21x FY17's estimated earnings with an unfranked dividend yield of 3.25%.
