- Investing in growth-oriented stocks is a popular investment strategy followed by many investors.
- Superior business model, better revenue, profit growth, and excellent management are key factors that lead to high growth for the company.
Investing in growth-oriented stocks is a popular investment strategy followed by many investors. This is because growth-oriented companies are perceived to perform well and grow at a faster pace than the average industrial growth rate.
Many factors contribute to a high growth rate for the companies, like superior business model, better revenue and profit growth, and excellent management, which directly impact the company’s share price.
Top 5 FTSE growth stocks for November 2021
Let us look at FTSE listed stocks that have growth orientation and can be a good investment opportunity for the upcoming month:
Renewi Plc (LON: RWI)
FTSE AIM-listed company operates in the waste-to-product business. It uses innovative technology to turn waste into useful products like paper, metal, glass, wood, and other industrial products. It has operations in multiple countries. For the six months ended 30 September 2021, the company reported good performance, and its revenue grew by 10% compared to the pre-pandemic period. High revenue growth was possible due to increased volume, high price for recycled products and cost management by the company. Also, the company operate in a niche and under-penetrated market segment, which has high growth potential.
Renewi Plc’s current market cap stands at £580.17 million as of 28 October 2021. In the last one year, the stock has given a 213.91% return to its shareholders.
Senior Plc (LON: SNR)
The company operates as a diversified engineering service provider. It designs and manufactures original equipment for various industrial sectors. During the nine months ended 30 September 2021, the company witnessed a strong recovery in the domestic aviation and defence market. As a result, it reported total revenue of £496 million. Also, it brought down its net debt to £94 million, a reduction of £35 million. The company has a positive outlook for the remaining year and expects growth in line with its earlier management guidance.
Senior Plc’s current market cap stands at £678.20 million as of 28 October 2021. In the last one year, the stock has given a 175.31% return to its shareholders.
Bytes Technology Group Plc (LON: BYIT)
The technology segment company offers software, cloud and security solution and services to its clients. It also provides training and consulting services. The company reported revenue of £251.4 million for the six months ended 31 August 2021, while its gross profit stood at £52.9 million. Higher revenue was mainly due to growth in the software and service business and a rise in gross profit per customer. As a result of good performance, the company announced an interim dividend of 2p per share which will be paid on 3 December 2021.
Bytes Technology Group Plc’s current market cap stands at £1,172.98 million as of 28 October 2021. The stock has a given year-to-date return of 55.52% to its shareholders.
Learning Technologies Group Plc (LON: LTG)
The company provides software and learning solutions and content platforms to cooperate and government clients. The company reported a 7% growth in organic revenue during the first six months of 2021. Its reported income was at £82.6 million, while its adjusted EBIT was at £22 million. Also, the company declared an interim dividend of 0.30p per share to be paid on 29 October 2021. In addition, the company has successfully completed the acquisition of GP Strategies, which will expand the company’s global footprint and has the potential to generate revenue of £500 million.
Learning Technologies Group Plc’s current market cap stands at £1,593.70 million as of 28 October 2021. In the last one year, the stock has given a 54.92% return to its shareholders.
AB Dynamics Plc (LON: ABDP)
The company operates in the safety equipment segment. It designs and manufactures safety products for advanced driver assistance systems (ADAS). It has a virtual monopoly and operates in a niche segment with less competition from peer companies, indicating stable revenue for the company without significant disruption. For the financial year ended 31 August 2021, the company performed very well and expects to earn total revenue of £65 million.
AB Dynamics Plc’s current market cap stands at £413.99 million as of 28 October 2021.