Growing Revenue and EPS

6 companies that have grown their profitability

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Jul 18, 2017
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The following companies have boosted their revenue and earnings over the last five years.

Goldman Sachs Group Inc. (GS) has a five-year revenue growth rate of 6% and a five-year earnings per share (EPS) growth rate of 19%. The stock is trading with a price-earnings (P/E) ratio of 12.2 and has a negative six-month return of -5.8%.

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Goldman Sachs Group is engaged in capital market activities. Its services primarily include investment banking operations

GuruFocus gives the stock a profitability and growth rating of 6 out of 10. While the return on equity (ROE) of 9.27% is outperforming the sector, the return on assets (ROA) of 0.97% is underperforming 60% of the companies in the Global Capital Markets industry. Financial strength has a rating of 5 out of 10. The cash-debt ratio of 0.48 is far below the industry median of 1,845.

Dodge & Cox is the largest shareholder among the gurus with 3.56% of outstanding shares followed by Warren Buffett (Trades, Portfolio) with 2.78%, Spiros Segalas (Trades, Portfolio) with 0.5%, Richard Pzena (Trades, Portfolio) with 0.36%, Bill Nygren (Trades, Portfolio) with 0.28%, Ken Fisher (Trades, Portfolio) with 0.27%, HOTCHKIS & WILEY with 0.26%, Pioneer Investments (Trades, Portfolio) with 0.21% and Ruane Cunniff (Trades, Portfolio) with 0.16%.

Bank of Montreal (BMO) has a five-year revenue growth rate of 7% and a five-year EPS growth rate of 6%. The stock is trading with a P/E ratio of 12.2 and has a six-month return of 4.4%.

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The company provides diversified financial services primarily in North America. It offers a broad range of personal and commercial banking, wealth management and investment banking products and services.

GuruFocus gives the stock a profitability and growth rating of 6 out of 10. While the ROE of 12.33% is outperforming the sector, the ROA of 0.77% is underperforming 58% of the companies in the Global Banks - Global industry. Financial strength has a rating of 6 out of 10. The cash-debt ratio of 9.70 is below the industry median of 2.09.

The largest shareholder among the gurus is Jim Simons (Trades, Portfolio) with 0.14% of outstanding shares followed by Jeremy Grantham (Trades, Portfolio) with 0.03%.

JetBlue Airways Corp. (JBLU) has a five-year revenue growth rate of 8% and a five-year EPS growth rate of 58%. The stock is trading with a P/E ratio of 12.5 and has a six-month return of 7.7%.

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The airline company primarily provides passenger airline service. It also extends its services to cargo transport, travel agency operations and travel insurance.

GuruFocus gives the stock a profitability and growth rating of 8 out of 10. While the ROE of 17.03% is underperforming the sector, the ROA of 6.84% is outperforming 59% of the companies in the Global Airlines industry. Financial strength has a rating of 6 out of 10. The cash-debt ratio of 0.78 is below the industry median of 0.51.

PRIMECAP Management (Trades, Portfolio) is the largest shareholder among the gurus with 5.91% of outstanding shares followed by Donald Smith (Trades, Portfolio) with 1.84%, Steven Cohen (Trades, Portfolio) with 0.36%, Robert Olstein (Trades, Portfolio) with 0.1%, Simons with 0.07%, Caxton Associates (Trades, Portfolio) with 0.01%, David Dreman (Trades, Portfolio) with 0.01% and Paul Tudor Jones (Trades, Portfolio) with 0.01%.

American Financial Group Inc. (AFG) has a five-year revenue growth rate of 10% and a five-year EPS growth rate of 9%. The stock is trading with a P/E ratio of 12.6 and has a six-month return of 16.5%.

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It is a property and casualty insurance company that operates through its subsidiaries. It sells fixed and fixed-indexed annuities in the retail, financial institutions and education markets.

GuruFocus gives the stock a profitability and growth rating of 6 out of 10. While the ROE of 14.01% is outperforming the sector, the ROA of 1.29% is underperforming 69% of the companies in the Global Insurance - Property & Casualty industry. Financial strength has a rating of 6 out of 10 with a cash-debt ratio of 1.47 that is far below the industry median of 2.41.

The largest shareholder among the gurus is Cohen with 0.16% of outstanding shares followed by Chuck Royce (Trades, Portfolio) with 0.12%, Simons with 0.01% and Dreman with 0.01%.

Hollysys Automation Technologies Ltd. (HOLI) has a five-year revenue growth rate of 15% and a five-year EPS growth rate of 21%. The stock is trading with a P/E ratio of 12.7; over the last six months the price has a negative return of 10.8%.

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The company is a provider of automation and control technologies and applications in China. Its services include online equipment management services, upgrade services, inspection services, and among others.

GuruFocus gives the stock a profitability and growth rating of 7 out of 10. The ROE of 11.99% and ROA of 8.10% are outperforming 71% of the companies in the Global Diversified Industrials industry. Financial strength has a rating of 8 out of 10. The cash-debt ratio of 9.30 is above the industry median of 1.01.

Chris Davis (Trades, Portfolio) is the largest shareholder among the gurus with 2.09% of outstanding shares followed by Royce with 0.42% and Simons with 0.27%.

Banco Macro SA ADRĂ‚ (BMA) has a five-year revenue growth rate of 36% and a five-year EPS growth rate of 44%. The stock is trading with a P/E ratio of 12.8 and has a six-month return of 24.3%.

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It is a commercial bank offering standard banking products and services. It provides its services to retail customers and small to medium-sized businesses.

GuruFocus gives the stock a profitability and growth rating of 7 out of 10. The ROE of 33.54% and ROA of 5.11% are outperforming 97% of the companies in the Global Banks - Regional - Latin America industry. Financial strength has a rating of 6 out of 10 with a cash-debt ratio of 4.10 that is above the industry median of 2.09.

The largest shareholder among the gurus is Simons with 0.1% of outstanding shares followed by Manning & Napier Advisors Inc. with 0.07%, Caxton Associates with 0.05% and Fisher with 0.01%.

Disclosure: I do not own any shares of any stocks mentioned in this article.