Are these 3 S&P/ASX 50 stars in the buy zone?

The Aristocrat Leisure Limited (ASX:ALL) share price is one of three on the S&P/ASX 50 (Index:^AXFL) (ASX:XFL) that have gone gangbusters. Are more gains ahead?

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As the name implies, the S&P/ASX 50 (Index: ^AXFL) (ASX: XFL) is home to 50 of Australia's biggest listed companies.

Three shares on the index which have gone gangbusters this year are listed below. Should you invest in them?

This year the Aristocrat Leisure Limited (ASX: ALL) share price has risen a remarkable 49%. The gaming machine maker smashed expectations last month when it posted a 56.9% jump in half-year profit from ordinary activities after tax to $249.6 million. A key driver of the strong result was its growing digital segment. Segment profit increased 53.3% to $77.7 million due largely to the sustained popularity of its Heart of Vegas game. While I would prefer to wait for a pullback in its shares, I still feel patient buy and hold investors will do well buying in at the current share price.

The Qantas Airways Limited (ASX: QAN) share price has taken off and is up 65% since the turn of the year. Despite this massive gain, I still see significant upside potential for the airline's shares. Low oil prices, improving demand, cost savings, and new routes are all reasons to be bullish on Qantas in my opinion. Whilst there is a risk that oil prices could rise and spoil the party, at this point in time I think there is more chance of the oil price sinking lower than climbing higher.

The Treasury Wine Estates Ltd (ASX: TWE) share price is the laggard of the group with its 27% gain in 2017. I've been very impressed with the work management has done with its portfolio premiumisation. The shift in its product mix to the premium end of the market has resulted in its first-half EBITS margin widening to 17.5% from 14% a year earlier. With demand in Asia and Americas growing strongly, I expect the company will deliver strong profit growth over the next few years. Whilst it shares may appear to be reasonably expensive, given its current growth outlook I think they are about fair value now.

Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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