The 6 Most Aggressive Growth Stocks to Buy in July
Today I am discussing the six most aggressive growth stocks to buy in July. They reflect huge potential growth in their sales and|or their earnings. That means their valuations may be quite high, reflecting optimism about that growth. Aggressive growth stocks tend to get bid up due to the market’s enthusiasm over the company’s future prospects. Typically, this relates primarily to sales growth trajectories. As a result, many of these stocks have high price-to-sales multiples. Moreover, in many cases, the high-growth stock does not have positive earnings yet. Or it may have very low adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) figures. As a result, the price-to-adjusted EBITDA, or enterprise value (EV)-to-adjusted EBITDA multiples typically are high. EBITDA is sort of a “poor man’s earnings.” It cuts corners to try to show that the company has positive income. But that company’s actual net income, and even its cash flow, are often negative. For example, by cutting out the real cash costs of interest and taxes, which most companies have to pay, EBITDA shows profitability.
The 6 Most Aggressive Growth Stocks to Buy in July
Today I am discussing the six most aggressive growth stocks to buy in July. They reflect huge potential growth in their sales and|or their earnings. That means their valuations may be quite high, reflecting optimism about that growth. Aggressive growth stocks tend to get bid up due to the market’s enthusiasm over the company’s future prospects. Typically, this relates primarily to sales growth trajectories. As a result, many of these stocks have high price-to-sales multiples. Moreover, in many cases, the high-growth stock does not have positive earnings yet. Or it may have very low adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) figures. As a result, the price-to-adjusted EBITDA, or enterprise value (EV)-to-adjusted EBITDA multiples typically are high. EBITDA is sort of a “poor man’s earnings.” It cuts corners to try to show that the company has positive income. But that company’s actual net income, and even its cash flow, are often negative. For example, by cutting out the real cash costs of interest and taxes, which most companies have to pay, EBITDA shows profitability.