7 Expansion Stocks That Will Outperform the Market Through 2028

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        Companies with a strong growth outlook, strong fundamentals and definite business tailwinds     </p><div>
                        <p>If we look at high quality growth stocks, earnings and EBITDA growth is not just for a year or two.  Companies continue to grow at a CAGR of 20% to 30% in the long run.  In fact, business elements should be supportive and matched with perfect execution.  Finding those long-term growth stocks can lead to big money generation.

This column pays special attention to progress stocks that constitute companies with strong fundamentals and a wonderful business. Some of the concepts mentioned were depressed due to short-term headwinds and were undervalued. On the other hand, there may be some uncertainty regarding potential long-term progress.

So I would believe the hype of these growth stocks for multibagger returns. Over a period of 5 years, these concepts are likely to increase earnings and cash flows multifold. Let’s talk about the trade and fiscal elements that support the bullish thesis.

Miniso Crew (MNSO)

miniso crew (NYSE:mnso) appears to be a buy and sell across a deep valuation gap considering the Forward P/E of 15.9x. Revenue and earnings progress are likely to remain difficult for a lifestyle store and I’m expecting a powerful reversal. Add to this that MNSO Reserve offers an impressive dividend yield of 2%.

One notable thing to note is that Miniso is coming off a great week even amid macroeconomic headwinds. There is a possibility of rate cuts globally in the coming quarters, which is likely to accelerate growth. For Q1 2024, the lifestyle store reported revenue of $515.7 million, up 26% on a year-over-year basis. Additionally, adjusted EBITDA margin increased 200 basis points to 25.9%.

Miniso may be planning to pursue competitive bundle development. Between 2024 and 2028, the company plans to open 900 to 1,100 new retail outlets globally. It aims to grow earnings at a CAGR of more than 20%. With ongoing leverage, margin growth will likely accelerate further. Due to the fact Miniso looks sexy on all fronts and protection is the most likely value writer.

Li Auto (LI)

If an investor is bullish on the long-term outlook for electric cars, the most productive month to buy EV stocks is now. Sentiment is very bearish and probably the best EV stocks are trading at undervalued levels.

As sentiments reverse, component names may rise. Lee Auto (NASDAQ:Took) is one of the undervalued EV stocks to buy for the millionaire-maker. LI reserved trades at a Forward P/E of 16.2 after a deep improvement of fifty% year-to-date.

The slowness of progress is one reason for the drastic improvement. In March, Li announced that the company would focus on “creating value for users and enhancing operational efficiency” rather than emphasizing gross sales volume and festival performance. While it has caused pain, it is an appropriate strategy for the future.

LI protection has also been affected due to the price list imposed by the EU on Chinese cars. Then it’s worth noting that Li Auto is completely focused on China. Additionally, the Middle East is the most potential market for growth. Overall, with a powerful money buffer, good automobile margins and a focus on generation, LI Reserve is a potential multi-bagger.

DraftKings (DKNG)

draftkings (NASDAQ:dkng) Reserves have seen a good 50% increase in the last three hundred and sixty-five days. This is a result of a significant addressable market presence as well as margin growth. For similar reasons, I am expecting DKNG Conserv to remain in an uptrend.

As an outline, DraftKings is a supplier of online sports making bets (OSB) and iGaming in the US. These days, the OSB and iGaming market (current state) is worth $20 billion. The market size is expected to grow to $30 billion by 2028. As more states legalize online gaming, the addressable market will continue to grow. I should say that Europe is another important market and DraftKings is likely to grow outside the US in the coming years.

There has been a significant move towards business profitability for DraftKings over the past three hundred and sixty-five days. For the Wave year, the gaming company provided adjusted EBITDA guidance of $500 million. The goal is to reach EBITDA of $1.4 billion by 2026 and $2.1 billion by 2028. If the company entered brand new states in the US DraftKings the EBITDA could potentially be higher due to the fact that it has the potential to become a money stream tool.

Chronos (CRON)

For years, there were expectations of the hashish business growing into a spectacular week. On the other hand, the most important thing for progress has been strict regulations. There are positives on that front and I am confident of multiple returns in high quality cannabis stocks.

chronos (NASDAQ:cron) is one of the best names to trust in business. It’s worth noting that amid the stringent regulations, Chronos remained conservative when it came to development. This has created a powerful wealth buffer of $855 million.

With regulatory hurdles easing, corporate competition appears to be ripe for investment. Over the past few quarters, Cronos has entered brand new territories in Germany, Australia and the UK. With financial flexibility in mind, it’s likely that the cannabis company will continue to move into new areas.

Recently, Cronos announced that it will provide $51 million in non-revolving credit to Groco (50% ownership) for capital treasury facility development. The goal is to capitalize on international market demand for high quality hashish plant life. Those projects will help accelerate earnings and I expect patronage of CRON to increase.

PACS Crew (PACS)

pax crew (NYSE:PACS) had launched its IPO at $21. Protection has steadily risen to $28.6 and remains stable at a forward P/E of 20x. As an outline, PACS is a supplier of professional nursing and assisted living facilities in the US. These days the company has 218 facilities in 9 states.

The first thing to note is that PACS Crew has ample scope for facility expansion in the US, with competitive acquisitions of new facilities likely in the coming years, which should help drive earnings growth. Additionally, adjusted EBITDA is 34% higher in Q1 2024 on a year-over-year basis. I expect continued growth in EBITDA and potential margin growth as new features mature.

When it comes to aggressive benefits, the average price of a corporate professional nursing facility service is in line with the generation of $550. In other words, the average cost of a service produced in hospitals and inpatient rehabilitation facilities is $2,914 and $1,850, respectively. It is the associated fee issue that is likely to put pressure on progress and proper utilization of the facilities. With conservation still under the radar, this is a good month to believe the hype.

First Sun (FSLR)

first sun (NASDAQ:FSLR) Conservation has seen a smart rally of fifty% so far. This again comes after a long period of price and month correction. Due to this fact FSLR remains attractively valued at a Forward P/E of nineteen.2x.

By Q1 2024, First Sun reported a full booking backlog of 78.3 GW. The backlog extends to 2030 and provides clear earnings visibility to renewable energy corporates. Additionally, First Sun has a total booking option of 72.8GW. Although 50% of the potential option turns directly into backlog, the outlook for expansion is bright.

As the layout backlog increases, the company can increase its production capacity. By the end of 2026, Sun Partners expects to have 4GW of U.S. sun capacity and 11GW worldwide. This can sometimes translate into good earnings growth as production will increase on a year-on-year basis. Due to this fact, coupled with business headwinds and a powerful backlog, First Sun is poised to make a price.

Rebellion Forum (Riot)

between Bitcoin ,btc-usd) mining shares, rebellion forum (NASDAQ:riot) appears to be a borrower of less than $10. If the implementation of progress plans goes right, I am expecting multi-bagger returns from RIOT Reserves over the next few years. Talking about valuation, RIOT trades at a safe Forward P/E of 13.5. For a corporation that is on a high growth path, the valuation hole is significant.

One notable thing to note is that as of Q1 2024, Rebellion reported a zero-debt balance sheet. Additionally, a cash buffer of $1.3 billion (including virtual assets) provides long financial flexibility to pursue competitive progress and Rebellion has some significant plans.

To put things in perspective, Rebellion reported a hash charge capacity of 12.5EH/s by Q1 2024. The company plans to increase the capacity to 31.5EH/s by the end of the year. Additionally, the long-term plan is to increase the capacity to 100EH/s by 2027. This is likely to lead to manifold growth in income and cash flow over the next five years.

In the age of e-newsletter, Faisal Humayun does not hold (directly or indirectly) any positions in the securities discussed in this article. The criticisms expressed in this article are those of InvestorPlace.com’s featured essayist Publishing Tips,

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