Four stocks on this year’s list are software stocks. Software is a great industry because there’s very little cost of goods sold, thus companies can plow up to 40% of revenue into sales & marketing.
As we roll into 2020 the market is — well, rolling. Still, I was able to find value in the market. Five of the stocks in this top-ten list have P/E ratios of 20 or less.
The charts used are one-year charts, with qtrly profit growth on the bottom/left, with Estimates for the next 2 qtrs bottom/right. Top stocks often beat analyst Estimates.
In my book, annual stock growth is often close to annual profit growth over the long-term. The faster the profit growth the better.