Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



5 More Top Growth Stocks

Are you really a growth investor?

It's worth asking. Fast-moving tech stocks have taken a beating recently, leading to a slew of bargains for those with the guts to buy.

No surprises there. Market panics occur daily. Just ask investors who hold shares of Under Armour (NYSE: UA  ) , which on Thursday fell nearly 6% on no news whatsoever.

That's why all-star investors bet on growth over the very long term. They know that:

  1. Businesses that make investors billions always begin as growth stocks.
  2. The best of them feature massive and identifiable competitive advantages.
  3. Growth as a strategy has the capacity to deliver 20% or greater annual returns for decades at a time. 

How we do it
Of course, not all growth stocks will do. Our weekly hunt is for the next great multibagger. But unlike David Gardner and his team at Motley Fool Rule Breakers, who scour everything from financial statements to trade magazines to clinical reports in their research, we're going to rely on our Motley Fool CAPS investor-intelligence database.

Specifically, we're looking for stocks that have earned a five-star rating in CAPS and which are expected to grow their earnings by at least 15% annually over the next five years. Five-star stocks are those that the community, on the whole, believes will outperform the S&P 500.

Let's have the list
Now, with that preamble behind us, here are five more top growth stocks:


No. of CAPS Ratings

Bullish CAPS Ratings

5-Year Growth Estimate

Net Servicos de Comunicacao (NASDAQ:NETC)




Amtech Systems (NASDAQ:ASYS)




InterDigital (NASDAQ:IDCC)




ValueClick (NASDAQ:VCLK)




Sasol (NYSE:SSL)




Sources: Motley Fool CAPS, Yahoo! Finance.

Bear in mind that this isn't a list of recommendations. Instead, I offer these stocks as candidates for further research.

At first, memories of the spiffy-pop that aQuantive produced for our Rule Breakers subscribers had me thinking of ad-serving peer ValueClick. But I'm less enthusiastic about its growth opportunity now that Google's (Nasdaq: GOOG  ) purchase of DoubleClick has been approved by the Feds.

Smooth as Sasol
Instead, I decided to go with the turtle among today's hares: Sasol, a Global Gains and Income Investor recommendation based in South Africa. The integrated energy player dabbles in a variety of areas, but its bread and butter is synthetic fuels. The company is also a leader in coal-to-liquid (CTL) technology, which could prove a boon if the U.S. decides to pour financial resources into building out such infrastructure.

What does that promise cost? Not much, apparently. Sasol trades for around 10 times next year's projected earnings and sports a fat 2.6% dividend yield.

Were investing like basketball, we might say that Sasol is in triple-threat position: It can dribble to the basket, shoot, or pass the ball. Every choice gives investors a chance to score.

And there are some really outstanding stock pickers on the court with Sasol. Bill Mann, Global Gains' lead advisor, for one. Others include superstar fund managers Neil Hennessy and Thomas Soviero. Guys? Can I join you? Sasol enters my CAPS portfolio today.

But that's me. What would you do? Would you buy Sasol at current prices? Let us know by signing up for CAPS today. It's 100% free to participate.

See you back here next week for five more top growth stocks.

Help us in our goal to give every young person around the globe a financial education! Learn more about the new direction of Foolanthropy, now in its second decade, here.

Read/Post Comments (0) | Recommend This Article (5)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 557304, ~/Articles/ArticleHandler.aspx, 5/28/2016 8:31:06 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 23 hours ago Sponsored by:
DOW 17,873.22 44.93 0.25%
S&P 500 2,099.06 8.96 0.43%
NASD 4,933.51 31.74 0.65%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

12/31/1969 7:00 PM
CNVR $0.00 Down +0.00 +0.00%
Conversant, Inc. CAPS Rating: *****
IDCC $57.89 Up +0.27 +0.47%
InterDigital Commu… CAPS Rating: *****
SSL $30.58 Down -0.14 -0.46%
Sasol CAPS Rating: *****
GOOGL $747.60 Up +10.67 +1.45%
Alphabet (A shares… CAPS Rating: *****
UA $37.92 Up +0.16 +0.42%
Under Armour (A Sh… CAPS Rating: ****