A new month is upon us and what better time to consider making some additions to your portfolio.
If you have room for a growth share or two then I think the three listed below would be great options in April.
Here's why I think they are in the buy zone:
Appen Ltd (ASX: APX)
One of my favourite growth shares on the Australian share market is Appen. I think the global leader in the development of high-quality, human annotated datasets for machine learning and artificial intelligence would be a great buy and hold investment due to the increasing demand for quality training data from the accelerating AI market. The company blew the market away with its recent full year result and appears to be well-positioned to do the same in FY 2019. Especially given the recently announced acquisition of Figure Eight for upwards of US$300 million.
Helloworld Travel Ltd (ASX: HLO)
Helloworld is an integrated travel company which I believe is trading at a very attractive price. Its shares have come under pressure in recent weeks after being caught up in a political scandal. This led to concerns that the company could lose its government contracts. Whilst there is certainly a risk of this happening, I don't believe it would have a material impact on its earnings. As a result, it could be worth picking up shares on this recent weakness. Especially considering management expects the company to deliver full year EBITDA growth of between 16.5% and 22.7% this year.
REA Group Limited (ASX: REA)
Whilst buying a property listings company's shares may seem counterintuitive during a housing market downturn, I think it is well worth doing so due to the resilience of the REA Group business model. In the first half the company grew revenue by 15% to $469.2 million and net profit by 20% to $176.6 million despite the housing market weakness. Whilst the upcoming election is likely to impact listings further, I believe they will accelerate in FY 2020 and underpin strong earnings growth and drive its share price higher.
