The following U.S. publicly traded companies have grown their spending on the purchase of property, plant and equipment substantially over the past five years. This may signal higher revenues, as these companies likely expect an increase in the demand for their goods and services in the near future.
Furthermore, analysts expect that these stocks will increase their earnings per share significantly, topping the S&P 500 over the next couple of years. The S&P 500 is a benchmark for the U.S. market.
Alteryx Inc
The first company that meets the above-listed criteria is Alteryx Inc (AYX, Financial).
The Irvine, California-based global provider of analytics platforms for data analysts and scientists purchased properties and equipment worth $11.5 million in full-year 2019, marking a tremendous growth from $530,000 in full-year 2014.
Wall Street sell-side analysts predict that Alteryx Inc will increase its EPS by 65% in 2021 and 40.2% on average every year over the next five years, while the S&P 500 is predicted to increase its EPS by 24% and 5%, respectively.
As of April, analysts recommended two strong buys, five buys and one hold rating. The average target price is $148.25 per share.
The share price has increased by 27.5% over the past year to close at $112.54 on April 24 for a market capitalization of $7.4 billion.
The stock has a price-earnings ratio of 296.16 compared to the industry median of 21.72, a price-book ratio of 22.81 versus the industry median of 2.51 and a price-sales ratio of 19.17 compared to the industry median of 1.83.
GrubHub Inc
The second company that meets the above-listed criteria is GrubHub Inc (GRUB, Financial).
The Chicago-based operator of an internet platform for restaurant pick-up and delivery orders in the U.S. has allocated $55.2 million to the purchase of properties, plants and equipment in full-year 2019, which was nearly 15 times higher than $3.7 million spent in full-year 2014.
Wall Street analysts estimate that GrubHub Inc will increase its EPS by 192% in 2021 while the S&P 500 EPS is expected to rise by no more than 5%.
As of April, sell-side analysts recommended eight strong buys, nine buys and seven hold ratings for this stock, while only one analyst suggested selling shares. The average target price is $44.68 per share.
The share price has fallen by 33.7% in the past year, closing at a price of $43.52 on April 24 for a market capitalization of $4 billion.
The stock has a price-to-owner-earnings ratio of 88.64 versus the industry median of 21.94, a price-book ratio of 2.66 versus the industry median of 2.69 and a price-sales ratio of 3.07 versus the industry median of 2.66.
Insulet Corp
The third company that meets the above-listed criteria is Insulet Corp (PODD, Financial).
The Acton, Massachusetts-based manufacturer and seller of insulin delivery systems for diabetic patients has allocated $163.7 million to capital expenditures in full-year 2019 versus a substantially smaller amount of $11.5 million allocated in full-year 2014.
Wall Street analysts predict that Insulet will increase its EPS by 174% this year, 169.2% in 2021 and 171.5% (per annum) over the next five years, while the S&P 500 is projected to post a fall of 15% this year but a rise of 24% in 2021 and 5% per year on average in the next five years.
As of April, analysts recommended six strong buys, four buys and seven holds for this stock. The average target price is $189.13 per share.
The share price has soared 136.7% in the past year, closing at $203.83 on April 24 for a market capitalization of $12.85 billion.
The stock has a price-earnings ratio of 1,132.39, a price-book ratio of 172 and a price-sales ratio of 17.21 versus the industry median of 3.45, indicating that the stock is not cheap.
Disclosure: I have no positions in any securities mentioned.
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