The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has had a strong first quarter and is up a solid 9.2% since the start of the year.
Whilst this is undoubtedly a strong gain, it is nothing compared to the gains that have been made by the three shares listed below.
Here's why these shares have smashed the market in 2019:
The Breville Group Ltd (ASX: BRG) share price has been a strong performer in 2019 and is up 55% year to date. The catalyst for this gain has been the release of a strong half year result despite the tough trading conditions in the retail industry. In the first half of FY 2019 the appliance manufacturer posted a 15.4% increase in revenue to $440 million and a 19.7% lift in net profit to $43.5 million. A key driver of this growth was its successful expansion into Germany and Austria. Management intends to build on this with the launch of its Sage brand into Belgium, the Netherlands, Luxembourg and Switzerland next month. If its expansion is a success then it could underpin further solid earnings growth in the coming years, making Breville one to watch.
The IDP Education Ltd (ASX: IEL) share price has climbed 50% so far in 2019. Investors have been fighting to get hold of the student placement services and language testing company's shares since the release of a better than expected half year result last month. During the first half of FY 2019 IDP Education posted an impressive 26% increase in total revenue to $304.3 million and a sizeable 34% jump in net profit after tax to $40.7 million. The key drivers of the company's growth were its English Language Testing and Student Placement segments. The latter segment grew revenue by 36% to $90.7 million thanks to a 23% lift in volumes and a 14% increase in the average application processing fee. Whilst I think IDP Education has a bright future, I feel its shares are looking expensive now.
The Nanosonics Ltd (ASX: NAN) share price has zoomed an impressive 55% higher since the start of the year. The infection control specialist's shares have been on fire since it announced record first half sales of $40.7 million, up 36% on the prior corresponding period. The growing popularity of its trophon EPR product, which is a best in class disinfection system for ultrasound probes, drove the strong result. At the end of the half Nanosonics had an installed base of 19,310 units, up 20% on the prior corresponding period. The good news is that this is still only a small portion of the addressable market estimated to be 120,000 units. Whilst its shares are looking fully valued now, I think Nanosonics would still be a great buy and hold option due to its strong long term growth potential.
