The month of April has proven to be a bit of a mixed month for the market. With numerous ups and downs the market looks set to finish the month with just a slight gain.
I'm expecting better in May and three shares which I'm tipping to shine are listed below. Here's why I would buy these growth shares next month:
Although the BWX Ltd (ASX: BWX) share price has rallied 31% this year, I still believe it is great value for patient buy and hold investors. Thanks largely to its Sukin skincare range, BWX posted a 30.2% jump in half-year net profit after tax to $8.2 million in February. Due to the launch of the products in the UK market through the Boots pharmacy chain and in China through online marketplaces, I believe the company could deliver an even stronger second-half.
The Domino's Pizza Enterprises Ltd. (ASX: DMP) share price has fallen around 20% since the middle of August, leaving its shares changing hands at a reasonable 46x trailing earnings today. Whilst this is still a significant premium over the market average, I believe its bottom line growth more than justifies it. After all, management expects net profit after tax growth of at least 32.5% in FY 2017.
The Nextdc Ltd (ASX: NXT) has rocketed almost 15% year-to-date thanks to an impressive half-year result from the data-centre-as-a-service (DCaaS) provider. As the migration to the cloud continues to gather momentum, demand for its services has continued to rise. In the first-half of FY 2017 the company saw contracted utilisation rise 32% to 30 MW. This led to an incredible 110% increase in EBITDA to $23.9 million. With its shares priced at 29x annualised earnings, I think NextDC remains a buy.
