Business

Two promising and fast-growing ASX growth shares November 26, 2021

Image Source: Getty Images

There are several ASX growth shares that are promising and have seen very rapid growth.

Fast-growing companies have the potential to achieve attractive profits for investors, thanks to compound interest growth over the years.

Just because a business is growing doesn’t mean it’s automatically worth owning. However, these can be promising.

Babs is an infant formula that specializes in goat dairy products for both children and adults. There are also a variety of vitamin supplements and organic baby foods, as well as infant formulas of milk grown on organic grasses.

Currently valued as a purchase by broker Citi, the price target is $ 0.58. Brokers say the evidence of a company’s taiga recovery is positive. Bab may continue to expand into other areas, such as more countries.

Total sales for the first quarter of 2010 increased 96% year-over-year and 45% quarter-on-quarter to $ 18.5 million. Both infant formula and adult goat milk achieved triple-digit year-over-year growth, with growth of more than 60% quarterly.

ASX’s growth share said it had a strong recovery in its business to China, with revenue growth of 156% year-on-year and growth of 98% quarterly. Infant milk powder sales increased 648% year-on-year and 265% quarter-on-quarter.

Management said the transformation reflects collaboration with strategic partners to implement new integrated channel growth strategies. We have restructured our value chain to provide higher channel margins and readjusted our channel inventory to meet stable demand.

Currently, we have entities and distributors in New Zealand, China and North America, with plans for more global growth. The first shipment of Aussie Babs products arrived in the United States during the quarter, Babs is now the official Wal-Mart vendor, and the first online sale is expected to take place in October 2021.

Total international sales outside China increased nearly five-fold year-on-year in the first quarter, up 35% quarter-on-quarter.

Bab had positive cash flow in the first quarter.

City Chic Collective Co., Ltd. (ASX: CCX)

City Chic is a global retailer of plus size women’s clothing.It is valued as a purchase by several different brokers, including: Macquarie Group Ltd (ASX: MQG).. The price target is $ 7.50, which is expected to continue to grow and expand into new areas.

ASX’s growth share has used its acquisition strategy to significantly grow its business over the last two years. It is also growing organically and rapidly.

Despite the supply chain and workforce impacts of COVID-19, City Chic has built a “strong” inventory position ahead of Christmas. Material shortages are not predicted.

Online sales continued to increase and profit margins increased in FY2009. Last year’s fiscal year sales were up 32.9% to $ 258.9 million, Interest, taxes, depreciation and profit before depreciation (EBITDA) It increased by 50.8% and the underlying net income after tax increased by 80.6% to $ 24.9 million.

The business continues to aim to launch new product lines in some markets, and City Chic plans to increase its presence in the EU with the acquisition of Navabi.

Macquarie has set the stock price of Citithic to 31 times the estimated earnings for FY2011.

Two promising and fast-growing ASX growth shares November 26, 2021

Source link Two promising and fast-growing ASX growth shares November 26, 2021

Related Articles

Back to top button