When it comes to growth shares, I believe Australian investors are spoilt for choice. But with so many to choose from it can be hard to narrow down which ones to invest in.
To help you on your way I have picked out three of my favourite growth shares which I expect to smash the market this year. Here they are:
Altium Limited (ASX: ALU)
Due to the rise of the internet of things, it seems that everything from televisions to fridges are connected to the internet these days. In order to connect to the internet these devices will usually have a printed circuit board (PCB) inside them. As a PCB software provider I believe Altium is positioned perfectly for high levels of growth in the next decade. Management certainly believes this to be the case and expects to more than double revenue to US$200 million by 2020.
BWX Ltd (ASX: BWX)
BWX is the name behind the Sukin skincare range. The brand's growing popularity helped the company post a 36.4% jump in half-year sales to $37.5 million. Net profit after tax grew almost as strongly, up 30.2% to $8.2 million during the half. I believe the launch of the product range in the United Kingdom will be a key driver of growth in the future. Furthermore, the decision by Chinese officials to postpone its proposed cross border e-commerce laws could prove to be a boost.
Treasury Wine Estates Ltd (ASX: TWE)
Another company with its eyes on the China market is Treasury Wine Estates. Demand from both the China and the United States markets has been incredibly strong and I expect them to be the key driver of growth for the company over the next few years. Whilst its shares may be a little on the expensive side at 33x trailing earnings, I feel confident its long-term growth potential more than justifies the premium.
