Looking back over the past 12 months, the All Ordinaries (INDEXASX: XAO) has performed strongly, rising just over 15%. However, there are a number of shares that stood out and have managed to do even better.
Below are three shares that have not only beaten the market, but would have more than doubled your investment from one year ago today.
Catapult Group International Ltd (ASX: CAT)
12 months ago, the Catapult share price closed at just $0.605. Fast forward to today and investors are now willing to pay $2.00 for them, a massive 230% increase. So, what’s happened?
Catapult was founded in 2006 and is a leader in the emerging field of sports analytics. The company’s wearable devices collect data through sensors which feed through to its proprietary software and analytics programs. This software is then capable of producing a range of simple and complex metrics.
On this very day in February last year, Catapult shocked the market by announcing the resignation of its CEO, Joe Powell. This was announced only a couple months after the resignation of the company’s then CFO, Mark Hall.
These events caused the Catapult share price to drop to its 52-week low of $0.60, meaning shares were trading on an enterprise value multiple of just 1.5x sales.
Now, given that Catapult was running a high margin, sticky software business and growing revenue at 20% per year, hindsight may have screamed value. And it didn’t take long for its share price to track back up thanks to revenue growth, the appointment of Will Lopes as CEO, and a series of new contract wins. On this, Catapult recently announced a new league-wide deal with Major Rugby League (MLR).
Catapult seems to have found traction recently making a number of large deals, indicating there may be plenty of steam left in it still.
Nanosonics Ltd. (ASX: NAN)
Nanosonics sells a medical device called trophon. Trophon is used to sterilise ultrasound probes with the advantages of being automated and quicker while not requiring any chemicals.
Thanks to its trophon product, and the release of trophon2, Nanosonics grew sales by 39% in FY19. The company also looks set to expand into new markets, announcing agreements in Europe and regulatory approval in Japan.
Despite Nanosonics’ fast growth, it’s estimated that the company has only achieved a global market penetration of 17%. This gives it plenty of room to move higher in the future thanks to the superiority of its products. What’s more, Nanosonics’ product suite is also expanding due to investment in research and development.
Over the past 12 months, Nanosonics shares have risen a tremendous 114% to sit at $7.34 today.
Medical Developments International Ltd (ASX: MVP)
Medical Developments shares traded for just $3.71 a year ago. Today, a share in this fast-growing company will cost you $10.63, a tidy 187% increase.
This share price growth was driven by the company’s growth in revenue, as well as its expanding global footprint and outlook. In FY19, revenues reached a record high and net profit after tax was up a staggering 327%, albeit off a low base.
Meanwhile, sales of the company’s flagship Penthrox medicine increased 47% globally. This was largely driven by almost 400 new customers in Europe and 1058 customers in total.
It appears the market has been impressed with Medical Development’s past growth and is excited about its future. Medical Developments is in the approvals process to sell Penthrox in the lucrative United States, Chinese and Russian markets which would no doubt go a long way to helping it continue its amazing run.
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Michael Tonon owns shares of Catapult Group International Ltd. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Catapult Group International Ltd, Medical Developments International Limited, and Nanosonics Limited. The Motley Fool Australia has recommended Catapult Group International Ltd, Medical Developments International Limited, and Nanosonics Limited. 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 Scott Phillips.