One area of the market which I think is filled with a number of quality options for growth investors is the mid cap space.
But with so many to choose from, which ones should you consider buying? Two to consider are as follows:
Bravura Solutions Ltd (ASX: BVS)
Bravura is the financial technology company behind the Sonata wealth management platform. This platform allows financial advisers to connect and engage with clients via computers, tablets, or smartphones. It counts a number of large financial institutions as customers.
In addition to this, the company has been on an acquisition spree over the last two years and has bolstered its portfolio significantly. This includes the acquisitions of Delta Financial Systems, Midwinter, and FinoCamp.
Midwinter is a financial planning software provider, FinoCamp builds unique, registry-agnostic and highly flexible software that supports the UK wealth market, and Delta Financial Systems provides technology to power complex pensions administration in the UK market.
While FY 2021 is going to be difficult because of the pandemic and Brexit, Goldman Sachs thinks investors should be patient. It has a buy rating and $4.50 price target on its shares.
Collins Foods Ltd (ASX: CKF)
Another mid cap share to look at is Collins Foods. It is one of Australia's leading operators of quick service restaurants.
Collins Foods has a growing KFC network across Australia and also in the under-penetrated European market. In addition to this, the company has been rolling out the Taco Bell brand across Australia.
It recently released its half year results and revealed an 11.3% increase in revenue compared to the prior corresponding period to $499.6 million. On the bottom line, underlying net profit after tax came in 15.1% higher to $27.5 million.
This went down well with analysts at Morgans, who appear to believe the company is well-placed to continue this positive form. The broker has an add rating and $11.39 price target on the company's shares.
