4 shares I'm tipping for a big 2018

These 4 shares could all beat the market next year.

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The New Year is nearly here, 2017 has gone by in a flash. There have been some amazing financial stories that have happened this year and there have been some truly terrible outcomes too. It's up to you to decide which side Bitcoin fits into.

The share market doesn't wait for anyone, so you need to jump on any opportunities that arise.

It's impossible to say which share prices will grow strongly over the next 12 months, but I think it's a good bet that the following shares will do well:

Propel Funeral Partners Ltd (ASX: PFP)

Propel is a newly listed company that's following in the footsteps of InvoCare Limited (ASX: IVC). Propel has a major presence in the regional areas of Australia, whereas InvoCare locations are based mainly in major cities.

I think Propel could be a market-beating choice because it's likely to go on an acquisition spree over the next few years. It could turn into a great long-term investment with the (sadly) rising death rate Australia is expected to experience over the next two decades.

WAM Microcap Limited (ASX: WMI)

WAM Microcap is the newest listed investment company (LIC) launched by the high-performing Wilson Asset Management team. It focuses on the smallest end of the share market, which the other WAM LICs generally avoid.

It has already started with a bang, the portfolio has grown by 23.1% since its inception in June 2017. This is a very strong performance, few LICs have generated a return above 20% over the past six months.

National Veterinary Care Ltd (ASX: NVL)

National Vet Care is a fast-growing vet business which is steadily acquiring more clinics for growth. The business will have 64 clinics once all acquisitions are settled and I expect management will continue making regular purchases into the future.

Management have confidently made a prediction of 25% statutory revenue growth for FY18.

BWX Limited (ASX: BWX)

This company is the owner of many different natural beauty brands, including Sukin which is the market-leader in Australia. BWX has grown domestic and export sales of Sukin strongly over the last year, but the next year could be even better.

In 2017 BWX has made a number of acquisitions which should be accretive to FY18 earnings and unlock the lucrative USA market.

Foolish takeaway

I think all four shares will be market-beating choices over the next two to three years. As long as there isn't a market crash I expect WAM Microcap will continue producing strong returns. Out of the other three shares I'd buy National Vet Care shares first because it is very likely to grow strongly over the next couple of years with acquisitions.

Motley Fool contributor Tristan Harrison owns shares of BWX Limited, InvoCare Limited, NATVETCARE FPO, Propel Funeral Partners Ltd, and WAM MICRO FPO. The Motley Fool Australia owns shares of and has recommended BWX Limited. The Motley Fool Australia owns shares of NATVETCARE FPO. 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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