In the evolving stock market landscape, identifying growth stocks to buy that promise resilience and prosperity over the long haul is akin to finding treasures in a rough, dusty terrain. This article will delve into the trajectories of three standout companies poised to dominate the coming decade.
Alkermes (ALKS)
Alkermes’ (NASDAQ:ALKS) fundamental strength is evident in its substantial revenue growth. For instance, in Q3 2023, total revenues hit 51% year-over-year (YOY) growth. The growth is attributed to the reinstatement of royalties on U.S. sales of long-acting INVEGA products. This was paired with a remarkable 16% YOY increase in the proprietary product portfolio.
On the other hand, Alkermes’ ability to leverage its manufacturing and royalty business is evident in an 182% YOY increase recorded in revenues. The arbitration win surrounding their INVEGA products significantly contributed to these revenues. This highlights Alkermes’ capacity to capitalize on its manufacturing capabilities.
Finally, Alkermes’ focus on innovation is evident in its developmental program. It is developing a product to treat narcolepsy. It shows promising results in Phase 1, focusing on safety and efficacy. Notably, the Phase 1b study is ongoing. Lastly, plans for a Phase 2 study in 2024 indicate a proactive approach to future growth opportunities.
Oshkosh (OSK)
Oshkosh’s (NYSE:OSK) segment-wise performance is its key strength. For instance, in Q3 2023, the access segment achieved 27% YOY revenue growth with an impressive adjusted operating margin of 17.6%. Healthy demand, operational execution and strategic investments drive the access segment’s strong performance. Plus a substantial backlog indicates a positive outlook for future revenues.
Similarly, their defense segment expects contract awards in the coming year. Its robotic combat vehicle program selection highlights Oshkosh’s strategic approach in the defense segment. Also, a $40 million contract for ROGUE Fires demonstrates resilience and adaptability to evolving defense needs.
Whereas the vocational segment delivered a remarkable 35% revenue growth, including a $116 million benefit from their subsidiary AeroTech. The segment achieved an adjusted double-digit operating margin for the second straight quarter at 11%. The strong revenue growth, improved supply chain, and operational execution in the vocational segment showcase Oshkosh’s ability to capitalize on acquisitions, drive growth, and enhance profitability.
Oshkosh was named to Newsweek’s 2023 list of the world’s most trustworthy companies. It ranked number 18 globally and number one in the U.S. in the vehicle and component services category.
Mosaic (MOS)
Mosaic’s (NYSE:MOS) recent investments are aimed at increasing their operational efficiency. These initiatives position the company to meet the growing demand for fertilizers and enhance production capabilities. Additionally, pursuing cost reduction initiatives and improvements is expected to drive a savings of at least $150 million. This focus on efficiency is crucial for maintaining profitability and competitiveness in a dynamic market.
Fundamentally, Mosaic’s expansion into the purified phosphoric acid market for battery production, diversifies its revenue streams. This diversification can provide insulation against market volatility and contribute to long-term sustainability.
Notably, Mosaic’s position as Brazil’s largest fertilizer supplier, with plans to expand its footprint in the fast-growing northern region, indicates a strong presence in key agricultural markets. This strategic positioning allows the company to capitalize on the increasing demand for fertilizers in regions with expanding agricultural activities.
On the date of publication, Yiannis Zourmpanos did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
