Your ultimate 3 stock growth portfolio for this reporting season

GBST Holdings Limited (ASX:GBT), Bentham IMF Ltd (ASX:IMF) and SEEK Limited (ASX:SEK) are set to deliver stellar results, but are they selling at the right price?

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Well investors, it's that time of the year again. For shareholders owning some of the weaker performing companies like JB Hi-Fi Limited (ASX: JBH) this may be a very painful time, but on the bright side, it may also be a good time to stock up on quality companies that have been sold off by nervous shareholders.

The reporting season also offers crucial insights, both as to how a company is currently performing and future growth prospects that have the potential to drive earnings in the future. Here are three companies that are set to offer some stellar results in their latest report and I think you should consider adding these stocks to your portfolio.

1. GBST

GBST Holdings Limited (ASX: GBT) provides a range of software services to the financial services industry in a wide range of locations such as Australia, Europe, Asia and North America. GBST's strategy is to grow earnings organically by distributing its services on a global scale. It has recently established quite strong ties in the UK and is looking to leverage off the country's massive asset management market. In addition to this, GBST has recently signed two major software services deals with prominent U.S. financial services businesses, providing it with another earnings booster.

For a company with a market capitalisation of only $233 million, GBST has a very bright future to look forward to. I think its preliminary report next week will provide investors nothing but good news. Given a price-to-earnings ratio of only 16, I think GBST is a definite buy for those looking for rapid earnings growth.

2. Bentham IMF

Litigation manager Bentham IMF Ltd (ASX: IMF) provides third-party funding to legal cases with a minimum claim of $2 million. Bentham IMF has been on a highly successful winning streak in the past 12 years, averaging a 96% success rate from 155 cases. This superior selection process creates a competitive advantage that can drive Bentham IMF's future growth.

Bentham IMF's future growth prospects seem promising given a U.S. funding contract has been recently signed and the potential opportunity to fund a claim against nine banks for late bank fees has arisen. This would allow it to take away approximately 22.5% of winnings, if successful.

With analysts reporting large double-digit growth projections, Bentham IMF seems to be a bargain. Trading on a price-to-earnings ratio of only 11.11 and offering a fully franked dividend yield of 3.7%, Bentham IMF is certainly a company to watch out for this reporting season and for many more to come.

3. SEEK

SEEK Limited (ASX: SEK) offers online employment classifieds on a global scale. SEEK is a great example of a company reaping the full benefits of the internet. Since its humble beginnings, it has managed to achieve monthly site visits in excess of 14.4 million, far greater than the 2.9 million by its rivals. In addition, SEEK is set for some heavy gains in the next few years given its expansion into the booming Asian market. While it already has formed subsidiaries in Singapore and Kuala Lumpur, there are plenty more growth opportunities that SEEK can take advantage of.

Although its high price-to-earnings ratio of 30.7 does tend to scare value investors off, SEEK's potential to deliver double-digit growth for the years to come is unquestionable and I think its current share price offers investors a decent opportunity to buy before results this month potentially drive it higher.

Motley Fool contributor Aryan Norozi owns shares Bentham IMF.

More on ⏸️ Investing

A white and black robot in the form of a human being stands in front of a green graphic holding a laptop and discussing robotics and automation ASX shares
Technology Shares

Joining the revolution: How I'd invest in ASX AI shares right now

Advances in artificial intelligence (AI) could usher in a new industrial revolution. Here’s how you can invest in it.

Read more »

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »