S&P/ASX 200 Index (ASX: XJO) stock Netwealth Group Ltd (ASX: NWL) is enjoying another day of solid gains.
Shares in the investment platform provider closed up 3.6% yesterday at $27.54. In afternoon trade on Wednesday, shares are changing hands for $27.96 apiece, up 1.5%.
This sees the ASX 200 stock up 41.4% since this time last year, racing ahead of the 5.6% 12-month gains posted by the benchmark index.
Atop those share price gains, Netwealth shares also trade on a 1.1% fully franked trailing dividend yield.
So, has the train already left the station on this one?
Not according to Catapult Wealth's Dylan Evans (courtesy of The Bull).
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Why this ASX 200 stock is a buy
"Netwealth offers superannuation and investment administration platforms, mostly through financial advisers," said Evans, who has a buy recommendation on the ASX 200 stock.
Evans pointed to the company's growth profile as one reason he's bullish on its outlook.
"Netwealth is still a relatively smaller player in the market, sitting outside the top five platform providers," he said. "But it's one of the fastest growing providers, significantly lifting funds under management by billions of dollars."
According to Evans:
These inflows are driven by market leading technology built on the back of consistent investment. Mandated superannuation guarantee increases ensure a growing market. Netwealth is ideally placed to grow its market share for years to come.
However, Netwealth has not been immune to the broader market selling pressure that followed news of United States President Donald Trump's global tariff campaigns.
Despite rebounding 26% since the recent 7 April closing lows, shares in the ASX 200 stock remain down just over 12% since mid-February.
And Evans believes that presents a good entry point.
"Market volatility has offered a rare dip in the share price and presents an attractive buying opportunity," he said.
What's the latest from Netwealth?
Netwealth reported its latest quarterly results on 10 April.
Among the highlights, the ASX 200 stock achieved net inflows of $3.5 billion over the three months. That was up 29% year on year and represented a new record for the third quarter.
Year to date, the company reported net flows of $12 billion, up 61% from the prior year.
As at 31 March, Netwealth had funds under administration (FUA) of $104.1 billion, an increase of $2.5 billion over the quarter.
Over the 12 months to 31 March, the ASX 200 stock increased its FUA by $19.4 billion, up 23% year over year.
