As I mentioned earlier today, the All Ordinaries (Index: ^AXAO) (ASX: XAO) has had a tricky 12 months that has resulted in a paltry gain of just 2.5%.
The good news for investors is that there has been a good number of shares that have vastly outperformed the index.
Three which have more than quadrupled in value over the last 12 months are listed below. Here's why they are up over 300% during this time:
The Bubs Australia Ltd (ASX: BUB) share price has climbed a massive 324% since this time last year. The fledgling goat's milk infant formula company certainly has come a long way during this time. It has signed countless distribution agreements with supermarkets and pharmacies in Australia and several large Chinese e-commerce platforms. Of all the up and coming infant formula companies, I think Bubs would have the best chance of succeeding due to differentiating from the competition with its goat's milk offering. However, I can't help but feel that a significant amount of success has already been built into its share price. This makes it a reasonably risky play and subject to sharp declines if its growth is slower than expected.
The Cann Group Ltd (ASX: CAN) share price has rocketed 379% over the last 12 months. The medicinal cannabis company has been seen as one of the leaders in the growing industry due to the licences it has attained and its huge Northern and Southern facilities in Victoria. These have significant capacity and put the company in a great position to profit from the recent changes in regulations to allow for medicinal cannabis exports. That is of course if the demand for product is there. It is early days, but I have Cann Group on my watchlist.
The Kogan.com Ltd (ASX: KGN) share price has risen a remarkable 420% during the last 12 months after the e-commerce company continued to outperform expectations. Last month Kogan reported a 45.7% increase in first-half revenue to $209.6 million and a whopping 118.9% increase in half-year net profit after tax to $8.1 million. Incredibly, this meant that Kogan's first-half profit alone was 12.5% higher than the total profit it made in the whole of FY 2017. While its shares are expensive, I think Kogan's growth profile arguably justifies this premium. I would class Kogan as a buy even after this incredible gain.
