3 Monster Growth Stocks With Potential for Further Gains
Investors want to see returns. To accomplish this goal, seasoned Wall Street observers often turn to one strategy time and time again: growth investing. A solid growth play is a name that appears poised to grow at an above-average rate and reward investors handsomely over the long run. Rolling up their sleeves, investors are pounding the Wall Street pavement in search of the tickers with impressive long-term growth prospects. However, having a target in mind is one thing, but zeroing in on these stocks primed for gains in the coming years is another story entirely. With this in mind, we suited up and set out on our hunt for investment opportunities with solid growth narratives. According to Wall Street’s analysts, using TipRanks’ Database, we were able to pinpoint 3 Buy-rated tickers that each boast considerable upside potential. Cowen Group (COWN) We’ll start with Cowen Group, a New York-based investment bank. Cowen offers investment management and broker-dealing services and is known as a risk-taker willing to move early into disruptive sectors; Cowen was an early booster of high-tech dot.com stocks, and more recently, in the cannabis sector. The bank’s primary operations are in the US and the UK. The bank’s recent share growth has been extreme; since this time last year, COWN shares have been up 534%. The share appreciation has pushed the company’s market cap over $1 billion and brought investors solid returns during the complex corona crisis. After a turndown in 1Q20, the company showed three consecutive quarters in a row of year-over-year revenue and earnings gains. Those gains were particularly impressive in Q2 and Q4; looking at 4Q20, the most recent report, Cowen posted a record quarterly net income of $90.5 million, by GAAP measures; full-year revenue was $209.6 million. The gains were driven by record performance in both the investment banking and the brokerage divisions. Cowen’s performance has impressed 5-star analyst Sumeet Mody of Piper Sandler, who writes: “We remain very positive on COWN following the strong results of 4Q20 earnings. After the firm’s sustained and elevated brokerage and banking activity throughout 2020, the outlook for earnings has meaningfully improved as banking pipelines remain robust, and brokerage activity has started the year strong…
