One thing that the Australian share market certainly isn't short of is growth shares.
These are shares that are expected to grow earnings at a quicker-than-average rate for at least a few years.
Three of my favourites are listed below. Here's why I think they are worth considering:
Aristocrat Leisure Limited (ASX: ALL)
This leading gaming technology company would have to be one of my favourite growth shares on the local share market. Whilst its core pokie machine business has growth potential of its own, the main attraction for me is its fledgling social and digital gaming operations. Thanks to the continued success of its existing portfolio of games, together with a series of big acquisitions and the strength of its core business, I think Aristocrat has the potential to grow its earnings at an above-average rate for the foreseeable future.
Altium Limited (ASX: ALU)
On Monday this software-as-a-service company released its half-year results to much fanfare and it isn't hard to see why. Altium reported half-year revenue growth of 30% to US$63.2 million, earnings before interest, tax, depreciation and amortisation growth of 51% to US$19 million, and net profit after tax growth of 51%. This puts its revenue target of US$200 million by FY 2020 firmly within reach and I remain confident that it will achieve it with ease. Especially given its exposure to the rapidly growing Internet of Things market.
Domino's Pizza Enterprises Ltd. (ASX: DMP)
There's no getting away from the fact that Domino's has been a big disappointment over the last 12 months. Its recent first-half result was below expectations and cast a serious doubt on whether management can deliver on its full-year guidance. But with its shares trading within sight of its two-year low and expectations lowered, I think now could be an opportune time to invest. Especially if you are willing to ride out the volatility and hold for the long-term. After all, Domino's continues to target a network of 4,650 stores by 2025, more than double its store count at the end of FY 2017.
