A Trio of Stocks Growing Earnings Fast

Their 5-year earnings growth rates are much higher than that of the S&P 500

Summary
  • The S&P 500 saw its trailing 12-month real earnings per share increase by about 10% on average every year over the past five years.
  • Rexford Industrial Realty Inc, Amkor Technology Inc and Hello Group Inc have outperformed the benchmark index for the US market.
  • Wall Street is positive about these businesses.
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The S&P 500 saw the trailing 12-month real earnings per share of its member companies increase by a compound annual growth rate of 10.13% over the past five years. The index, which stood at 4,701.46 as of Wednesday, has climbed more than 110% over the past five years.

Thus, investors may want to consider Rexford Industrial Realty Inc (REXR, Financial), Amkor Technology Inc (AMKR, Financial)and Hello Group Inc (MOMO, Financial), since they have outperformed the S&P 500 in terms of five-year annual earnings per share growth rates.

Rexford Industrial Realty Inc. (REXR, Financial)

Based in Los Angeles, California, the company is a real estate investment trust that focuses on owning and operating industrial properties across infill markets in Southern California.

The company saw its 12-month EPS without NRI increase by 52.70% on average every year over the past five years.

Following a 224.2% upside over the past year, shares closed at $72.07 apiece on Wednesday for a market capitalization of about $10.92 billion, a 52-week range of $45.90 to $72.20 and a price-earnings ratio of 107.57.

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VANGUARD GROUP INC is the largest institutional shareholder of the stock with 12.93% of shares outstanding. The asset management firm is followed by BlackRock Inc with an 12.04% stake and PRINCIPAL FINANCIAL GROUP INC with 6.19%.

On Wall Street, the stock has a median recommendation rating of overweight with an average target price of $75.81 per share.

Amkor Technology Inc. (AMKR, Financial)

Based in Tempe, Arizona, the company is a provider of turnkey packaging and test services to semiconductor manufacturers in the U.S. and internationally.

The company saw its 12-month EPS without NRI increase by 23.40% on average every year over the past five years.

The stock market was very happy about earnings improvement, so much that the share price ($23.27 at close on Wednesday) grew more than 90% over the past five years, determining a market capitalization of $5.69 billion. The 52-week range is $14.28 to $29.50.

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VANGUARD GROUP INC and BlackRock Inc. are amid the largest top shareholders of the company with 4.85% and 4.62% of shares outstanding, respectively.

On Wall Street, the stock has a median recommendation rating of hold with an average target price of $27 per share.

Hello Group Inc. (MOMO, Financial)

Based in Beijing, China, the company operates a social network and entertainment platform in China.

The company saw its 12-month EPS without NRI increase by 73.40% on average every year over the past five years.

Despite the earnings growth, the share price has not performed well, losing 39% in the past five years to trade at $12.74 at close on Wednesday for a market capitalization of $2.62 billion. The 52-week range is $10.05 to $20.99 and the price-earnings ratio is 8.93.

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D.E. Shaw & Co., Inc. is the largest institutional shareholder with 10.52% of shares outstanding. The asset management firm is followed by AMUNDI with an 8.97% stake and CALAMOS ADVISORS LLC with 6.79%.

On Wall Street, the stock has a median recommendation rating of overweight with an average target price of approximately $17 per share.

Disclosures

I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours. Click for the complete disclosure