Investors are a pretty happy bunch at the moment! And as can be expected in a rising market, there are a huge amount of companies hitting 12-month highs each month. Of course, many of these companies are tiny mining or energy stocks, but there are plenty of larger stocks hitting new highs following the recent reporting season.
Here are six top performing stocks to consider adding to your portfolio.
Harvey Norman Holdings Limited (ASX: HVN) has surged to four-year highs following a surprising 49% rise in net profit. Unlike some of its struggling retail competitors, Harvey Norman is showing how to drive retail sales in a soft economic environment.
Cochlear Limited (ASX: COH) has returned to favour following a promising full-year report in August. The group is due to receive expanded regulatory approval for its latest products soon, which should spur revenue growth.
Blood plasma product manufacturer CSL Limited (ASX: CSL) delivered 8% profit growth in 2013-14. It is also continually buying back its stock and is expected to boost profit by another 12% in 2014-15. This global company is showing how to sustainably grow earnings and drive shareholder value.
Collection House Limited (ASX: CLH) is an Australian debt collection company that is powering to new highs. Debt collection is proving to be extremely profitable in these stable times.
Insurance Australia Group Ltd (ASX: IAG) recently hit eight-year highs due to investor demand for its 6.5% fully franked dividend. Favourable claim conditions have resulted in fewer claims than expected over the past 24 months, which has allowed the company to prosper.
Corporate Travel Management Ltd (ASX: CTD) is a travel management group focussed on corporate travel in Australasia, the U.S. and Europe. The group delivered a terrific set of full-year results, reporting a 40% lift in profit, which has sent the share price to all-time highs.
Importantly, all of these companies have bright outlooks and significant positions in their respective industries. Legendary investor Warren Buffett has always favoured companies that have enough scale to overcome competition.
