One thing that the Australian share market is not short of is growth shares. But with so many to choose from it can be hard to decide which ones to buy.
To help you narrow things down I have picked out my three favourite growth shares on the ASX at the moment. They are as follows:
Altium Limited (ASX: ALU)
I've been very impressed at the way this software-as-a-service company has continued to outperform expectations. The company recently reported half-year revenue growth of 30% to US$63.2 million and first-half EBITDA growth of 51% to US$19 million. This puts the printed circuit board design software provider well on track to achieve its revenue target of US$200 million by FY 2020. I think its exposure to the rapidly growing Internet of Things market could lead to it smashing this target.
Aristocrat Leisure Limited (ASX: ALL)
Due largely to the enormous potential of its fledgling digital gaming segment, I think Aristocrat Leisure is one of the best growth shares on the local share market. This fast-growing segment has been producing high levels of recurring revenues thanks to the winning mix of increasing daily active users and average revenue per user. Pleasingly, I expect more of the same in FY 2018 thanks to a couple of major acquisitions. These acquisitions have added a number of popular mobile and social games to its burgeoning portfolio.
Nextdc Ltd (ASX: NXT)
Thanks to the rise of cloud computing and the ever-increasing consumption of data, I believe that this data centre operator is well-positioned to grow strongly over the next decade. As NEXTDC's data centres are some of the highest quality centres in the world, it will come as no surprise that it counts companies like Amazon amongst its growing customer base. While its shares are a little on the expensive side compared to the market average, I do believe it is capable of growing its earnings at a rate that more than justifies the premium.
