Therefore, alongside another growth share which released results on Tuesday, now could be the time to buy it.

Improving prospects

The company in question is digital communications specialist Next Fifteen (LSE: NFC). Its 2019 results showed a rise in net revenue of 14% to £224.1m, while adjusted profit before tax increased by 23% to £36m. The company was able to deliver significant client wins during the period, while its net debt level has more than halved to just £5.2m.

It has continued to make progress in the delivery of its strategy. It anticipates that it could be in a strong position to add value to companies which struggle with the impact that technology is having on their own business models.

With Next Fifteen forecast to post a rise in earnings of 8% in the current year, it appears to be performing well. The world economy’s growth outlook remains relatively robust, while the investment it is making in its platform of businesses and products could help it to adapt to constant change in a number of key markets. As such, with a price-to-earnings (P/E) ratio of 15.6, it could offer investment potential for the long run.

Growth potential

As mentioned, the BAE share price has experienced a turbulent period in recent months. There are concerns regarding one of its largest customers, Saudi Arabia, with it being possible that the company may not be able to fully service demand from the country for its products as a result of geopolitical risks. While this uncertainty persists, the company’s shares could continue to lag a number of other defence stocks.

However, the result of its share price fall is a low valuation. It now trades on a P/E ratio of just 10.4, which suggests that it offers a wide margin of safety. It is due to post a rise in net profit of 8% in the current year, while further strong growth could be ahead over the long run. In fact, the global defence industry is expected to step up in its growth rate after a decade of slow growth. This could provide improved operating conditions for businesses across the sector.

While buying any stock during an uncertain period can mean additional risk, it may also equate to higher potential returns. Since BAE has a strong position in what is a fast-growing market, its long-term investment prospects appear to be bright. With bottom-line growth of 8% forecast for the current year, it could deliver improving share price performance in the coming years.

The post Got £1,000 for a Stocks and Shares ISA? I’d buy the BAE share price today appeared first on The Twelfth Magpie.

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Peter Stephens owns shares of BAE Systems. The Motley Fool UK has recommended Next Fifteen Communications. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

Certainly there’s no guarantee that the recent declines in share prices will now end. Investor sentiment could worsen if the prospects for the world economy come under pressure. But the long-term investment opportunities on offer now appear to be more widespread.

With that in mind, these two growth stocks could be worth buying now for the long term. And both companies appear to offer growth at a reasonable price.

Improving performance

Reporting on Wednesday was digital communications company Next Fifteen (LSE: NFC). The business enjoyed a strong performance in its financial year to 31 January, with revenue increasing by 15% and operating profit moving 20% higher. Organic revenue growth was 5.2%, thanks to a surge in the second half of the year. This trend has continued into the new financial year, which suggests that further growth could be ahead for the business.

Next Fifteen’s acquisition strategy also appears to be working well. Its financial position provides opportunities for the company to boost its revenue and profitability, and this could help it perform well in future years.

With a price-to-earnings (P/E) ratio of around 14, it seems to offer good value for money at present. Although interest rate rises and higher inflation could hold back world economy performance to some degree, the overall prospects for global growth seem to be positive. With a low valuation and a solid strategy that has performed well in previous years, Next Fifteen now seems to be a worthwhile buy.

Potential turnaround

While a number of companies have enjoyed strong performance in recent years, easyJet (LSE: EZJ) is not one of them. It has experienced highly challenging trading conditions that have caused two consecutive years of declining earnings. Reduced demand from passengers — due in part to the threat of terrorism — has contributed to its disappointing performance. This has left investor sentiment relatively low.

However, with easyJet expected to generate earnings growth of 28% in the current year, followed by 20% next year, it looks set to deliver a turnaround. This could lead to improving investor sentiment, with its price-to-earnings growth (PEG) ratio of 0.6 suggesting that it may offer a wide margin of safety.

Additionally, easyJet is due to increase dividends per share at a rapid rate over the medium term. For example, it’s expected to yield 4% in the next financial year. And with dividend payments forecast to be covered twice by profit, they seem to be highly affordable. This could lead to significant income investing potential – especially since the company’s bottom line is forecast to rise at a fast pace as passenger numbers increase.

The post 2 cheap growth stocks I’d buy in April appeared first on The Twelfth Magpie.

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Peter Stephens owns shares of easyJet and Next Fifteen Communications. The Motley Fool UK has recommended Next Fifteen Communications. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

I’m drawn to two today, and the first is marketing communications and PR group Next Fifteen Communications (LSE: NFC) which I liked the look of when I last examined it in September. It’s still offering only relatively low yields of around 1.5%, but they’re strongly progressive — forecasts suggest dividend payments will have almost trebled between 2013 and 2020.

Growth by acquisition

The company has been taking advantage of the fragile post-Brexit economic outlook by making canny acquisitions at attractive prices, and it announced another one on Wednesday. The latest target is Brandwidth Group Limited, which is to be snapped up for an initial £6.2m — comprising £4.9m in cash and 292,000 new Next Fifteen shares.

There will also potentially be further payments depending on performance, which could take the total to £10.3m. The firm rates that at around 5.5 times Brandwidth’s adjusted 2017 EBIT, and says the deal should be earnings enhancing in 2019.

With a company growing partly by acquisition, it’s essential to keep an eye on liquidity — Carillion is the most painful recent example of what can go wrong when you overstretch. Next Fifteen reported £20.8m in net debt at the halfway stage at 31 July, which was 1.4 times EBITDA. That was up from £12.2m a year previously and needs to be watched, but I see it as comfortable.

Overall, I think there’s a future cash cow here. And with the shares at 416p, I see a forward P/E valuation of around 14 as attractive.

Cash today

No dividend portfolio can be complete without a few of today’s top FTSE 100 payers, can it? I see SSE (LSE: SSE) as being among the most reliable and one I’d tuck away for the very long term. 

The big utility companies enjoy clear visibility of future earnings and of future capital expenditure, which enables them to pay out a steady portion of their earnings as dividends. In its latest January update, SSE reiterated its target of lifting its 2017/18 dividend at least in line with RPI inflation, which to me only adds to the attraction.

Given the terrific long-term cash performance I’m seeing here, I’m at a loss to understand SSE’s share price fall — at 1,198p as I write for a 22% fall over the past 12 months. The recent Footsie dip hasn’t helped, but forward P/E multiples of around 10 just look crazily low to me.

Big yields

The price fall has boosted prospective dividend yields too, and we’re looking at forecasts for 7.5% and rising.

This low valuation is surely partly down to the malaise affecting the whole of the regulated utilities market, with populist politicians once again waving sabres in its general direction. But, as happens every time, this will pass.

Increasing competition and SSE’s restructuring will add uncertainty to the mix, but I agree with my Foolish colleague Peter Stephens that the spin-off of its domestic energy supply business has the potential to leave SSE as a more focused company.

Looking further back, SSE shares are down 15% in five years — a period that provided a 31% return in dividends. SSE looks cheap to me.

The post One future dividend stock I’d buy alongside Footsie star SSE plc appeared first on The Twelfth Magpie.

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Alan Oscroft has no position in any of the shares mentioned. The Motley Fool UK has recommended Next Fifteen Communications. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

And in that time, the annual dividend has grown from 2.3p in 2013 to 5.25p for the year to January 2017, with forecasts suggesting rises to 7.2p by 2019 — that would be a trebling in six years. The yield isn’t massive, forecast at under 2%, but that’s down to the soaring share price. And it’s four times covered by earnings, so there’s great potential for a long-term cash-cow future here.

That’s borne out by interim results released Tuesday, which show a 13% rise in pre-tax profit to £12m from a 16% hike in revenue to £93.5m. The shareholders’ bottom line saw diluted earnings per share gain 9% to 11.4p, and the firm proposed a 20% uplift in the first-half dividend to 1.8p per share.

Acquisitions too

In addition, the same day brought news of the acquisition of Charterhouse Research Limited, a “leading specialist financial market research consultancy.” The deal cost £2.75m, so it’s a relatively modest purchase.

Important new client deals, including LG Electronics, Grubhub, Marvell and NTT Data, together with a few canny acquisitions, show both sides of Next Fifteen’s growth potential — organic growth and acquisitions are surely both going to play big parts.

On the valuation front, even the stunning price growth of the past few years has not taken the shares beyond an attractive valuation in my view.

We’re looking at a 2018 P/E of 16, dropping to 14.4 on 2019 forecasts – and I reckon that’s cheap for such a strong growth candidate.

Bigger dividends

If you want bigger dividend yields, S&U (LSE: SUS) could be a good pick.

The sub-prime motor finance lender reminded us today it has achieved “17 consecutive years of increasing profit” as it reported on a first half that brought in a 20% rise in pre-tax profit to £14.3m, which provided a 21% boost for earnings per share to 96p. The interim dividend was lifted by 17% to 28p per share.

Fears of difficulties in collecting on loan payments have left the City’s big investors somewhat bearish towards S&U in the recent past, and we’ve seen an 18% share price drop over the past 12 months — though there’s been a 4.6% rebound to 2,074p on the day.

But those fears do not appear to be materialising, as S&S reported “record monthly Advantage collections of £10m achieved in July,” and chairman Anthony Coombs told us “S&U continues to experience robust and good quality demand.” 

What fears?

In fact, new Advantage motor finance agreements rose by 21% in the first half, which it seems is another new record, with improving “initial quality score.”

The annual dividend almost doubled from 46p to 91p between January 2013 and 2017, and a further increase mooted for the current year would take it to around 102.3p. That’s a twice-covered yield of 5%, which would be pushed as high as 5.7% on next year’s forecasts.

If that’s not enough, the market’s aversion to S&U shares has led to slowly falling P/E multiples — from around 16 in early 2014, current forecasts suggest a meagre 9.5 for the current year — and 8.2 next year.

I can see an upwards re-rating coming soon. But even if we don’t get that, long-term growth potential plus that progressive dividend makes S&U look attractive.

The post 2 bargain growth stocks offering rising dividends too appeared first on The Twelfth Magpie.

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Alan Oscroft has no position in any shares mentioned. The Motley Fool UK has recommended Next Fifteen Communications. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

Despite now being old enough to legally drink, online fast fashion retailer Asos (LSE: ASC) continues to grow at a clip that even many fledgling small-caps would be jealous of. In the six months to February, the company posted a stellar 37% year-on-year rise in revenue and with considerable expansion opportunities at home and abroad, I reckon this growth share has much more to give.

Even in the UK, where the company boosted the number of active customers by 16% year-on-year to 5m in H1, there is still plenty of room to bring in new customers since there are 16.4m young adults in the 15-34 age range that it targets. And expansion potential overseas is relatively boundless with just another 5m customers in Europe and around 2m each in the US and the rest of the world.

Turning itself into a globe-spanning e-commerce juggernaut requires very substantial, and expensive, logistics infrastructure. Thankfully, management is thinking long term and has spent heavily in the past few years in building out its delivery facilities across the world in anticipation of this growth. In H1 alone, capital expenditure nearly doubled from £31.9m to £62.4m.

Of course, in the short term this is a drag on margins. But this honestly doesn’t matter too much as the business is still solidly profitable, has a net cash position and is funding all expansion through cash generated from operations. With a proven business model, a previously proven ability to raise margins when necessary, and huge potential market across the globe Asos still has room to continue growing by double-digits for some time to come.

Risk-averse investors will likely be put off by the stock’s pricey valuation of 84 times forward earnings. But should the share price pull back, I’d definitely be very interested.

A bargain growth option?

A more reasonably priced growth share is digital marketing and public relations specialist Next Fifteen Communications (LSE: NFC). The company specialises in working with tech companies and despite posting earnings increases of 78%, 36% and 40% respectively in the past three years, its shares trade at a relatively cheap 16 times forward earnings.

As more and more marketing campaigns are built with online delivery at their core, rather than simply as an add-on to traditional print or television spots, NFC has proven itself a reliable partner to huge multinationals seeking expertise in online communications that many traditional ad and PR firms simply do not have.

This has led NFC to win contracts with just about every globe-spanning tech firm you can think of, as well as blue chips including GE, IBM and Vodafone. These new contracts are feeding through to the company’s financials and in the year to January it posted a 32% increase in revenue to £171m and a doubling of EBITDA to £29m.

Much of this growth has come through acquisitions, but organic growth was still a very respectable 10% in the period. And with just £11.4m in net debt at period-end, the company’s balance sheet provides plenty of firepower for future acquisitions.

With a reasonable valuation, a core product that is increasingly in demand, and fast growing margins, I believe NFC is worth a closer look for growth-hungry investors.

The post 2 super growth stocks with huge potential appeared first on The Twelfth Magpie.

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Ian Pierce has no position in any shares mentioned. The Motley Fool UK owns shares of and has recommended ASOS. The Motley Fool UK owns shares of General Electric. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

Robust performance

Reporting on Tuesday was international exhibitions company ITE (LSE: ITE). Its performance in the first six months of the year was in line with management expectations, with revenue up 2% on a like-for-like basis versus the comparative period. It was boosted by some improvement in the economic situation in Moscow, where early sales and marketing initiatives have helped to offset acontinued weaker performance from Central Asia and Turkey.

Looking ahead, ITE expects trading conditions in a number of its regions to be challenging. However, it has recorded bookings which amount to 92% of market expectations for revenue in 2017. Furthermore, they are around 7% ahead of last year on a LFL basis, with trading volume around 1% higher.

Certainly, ITE is highly dependent on the ruble/sterling exchange rate, but it is forecast to record a bottom line rise of 15% in the next financial year. This puts it on a price-to-earnings growth (PEG) ratio of just 1.1, which indicates its shares could rise in future.

In addition, a dividend yield of 2.7% could appeal if inflation moves higher. Brisk dividend growth could lie ahead due to payouts being covered twice by net profit, which could make ITE a sound income play as well as a growth stock.

Consistent growth potential

Also reporting on Tuesday was digital communications company Next Fifteen (LSE: NFC). Its revenue increased 32% in the 2017 financial year, which helped to raise operating profit by 52%. Operating profit was also boosted by a rise in the operating margin of 190 basis points, which shows that the company’s strategy is working well. For example, it has been able to improve the efficiency of a number of its UK businesses while also acquiring high-growth, high-margin agencies.

Looking ahead, further growth in the US could be on the horizon. Next Fifteen was able to deliver organic growth in its US business at a double-digit rate in the 2017 financial year. It also benefitted from the 2015 merger of its agencies in Asia Pacific, Europe and the Middle East. Together, these changes are expected to result in an 8% earnings rise in the next financial year. This puts the company’s shares on a relatively enticing PEG ratio of just 1.8.

Certainly, there may be better times to buy Next Fifteen or ITE. Share prices are generally high at present, with the FTSE 100 being near a record high. As such, a dip in the prices of either stock could be an opportune moment to buy for the long term.

The post 2 small-cap stocks I’d buy on the next dip appeared first on The Twelfth Magpie.

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Peter Stephens owns shares of Next Fifteen Communications. The Motley Fool UK has recommended ITE Group. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

Another extraordinary marketing firm, Next Fifteen Communications (LSE: NFC), has an equally impressive customer base including Alphabet, Apple and Microsoft.

Many investors believe these two companies could grow alongside their clients, but is BrainJuicer the better buy after today’s positive update, or does Next Fifteen’s consistent track record give it the edge?

BrainJuicer doesn’t believe in persuading customers using facts and figures. Humans tend to make snap decisions and consider only the top three or four brands when buying low-ticket items like ice creams.

Therefore, rather than focusing on the logical qualities of a product BrainJuicer bases its campaigns around “Fame, Feeling and Fluency.”

This novel approach drove an incredible 30% compound annual revenue growth rate between 2005 and 2013, with profits following along. The company’s expansion has been more muted in recent years however, growing only 3% total since then.

Its share price is approaching all-time highs, which seems overdone considering recent lacklustre revenue growth. Management also failed to quantify the outperformance, therefore lowering its value.

Today’s news is great for current shareholders, but a PE of 20 times might seem a little steep for those looking to buy the shares, especially if BrainJuicer can’t reignite revenue growth.

Two decades of growth

Next Fifteen Communications provides tech giants with PR, marketing and niche technical services.

The company might not have expanded as quickly as BrainJuicer, but its track record is no less impressive given its consistency. It has been profitable in all but two of the last 20 years and has grown revenue from £7.9m to £129.8m, or a CAGR of 6.9% in the same period.

A slew of acquisitions has turned it into a full-service provider over the last few years, which could facilitate revenue growth for some time.

BrainJuicer’s revenue growth has slowed down a little over the last few years, but Next Fifteen’s has been picking up the pace, jumping 23% last year.

I believe Next Fifteen’s revenues could be more defensible than BrainJuicer’s too because serving companies like Apple requires a deep understanding of tech that isn’t easily replicated.

BrainJuicer or Next15?

BrainJuicer has used its pause in growth to focus on margin expansion. The company reported an impressive 19% operating margin last year, compared to Next Fifteen’s 8%. Such a high figure implies that its services are still unique, otherwise competition would likely drag down profitability towards single-digits.

Next Fifteen trades at a rich 60 times last year’s earnings, but this figure doesn’t take into account the company’s rapid expansion, or its strong cash-flow. You see, earnings have recently been hit by high amortisation costs following past acquisitions. If we ignore these non-cash charges, the company looks a little cheaper at only 23 times free cash flow generated in the last 12 months.

Interestingly, BrainJuicer trades on 22 times the same metric. 

Both these companies are worth a closer look, in my view, but I believe Next Fifteen’s recent momentum make it a more attractive proposition than BrainJuicer’s, in spite of today’s upgrade.

The post BrainJuicer Group plc beats forecasts, but is it a better buy than Next Fifteen Communications plc? appeared first on The Twelfth Magpie.

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Zach Coffell has no position in any shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.

One company that offers such potential is BP (LSE: BP). Its asset base is geographically well-diversified and so it offers a relatively low geographical risk. Of course, on the flip side BP is highly dependent on the price of oil and so is risky from that perspective. But with its shares offering a wide margin of safety and very promising growth forecasts, now seems to be an excellent time to buy a slice of the business for the long term.

For example, following the oil price rise from its 2016 lows to around $50 per barrel, BP’s anticipated profitability has risen significantly for the 2017 financial year. It’s due to increase its bottom line by 115% as the effects of rising oil price and greater efficiencies are expected to take hold. And with there being scope for further improvements in both of these areas, BP’s price-to-earnings growth (PEG) ratio of 0.1 indicates that it’s a top-notch growth play trading on a low valuation.

Non-UK growth

Also offering a geographically well-diversified growth outlook is Alliance Pharma (LSE: APH). Its exposure to international markets was boosted by the recent acquisition of the healthcare products business from Sinclair Pharma. Crucially, this increases Alliance Pharma’s exposure to non-UK markets, with over 50% of its business now being conducted outside of the UK.

Clearly, Alliance Pharma has an excellent track record of making the right acquisitions, both in terms of the licenses it acquires and the price it pays for them. The healthcare products transaction appears to be a logical one and with Alliance Pharma forecast to increase its bottom line by 8% this year and by a further 9% next year, its outlook is very positive. Its shares currently trade on a PEG ratio of just 1.2, which indicates that now is a great time to buy them for the long term.

Low geographic risk

Meanwhile, Next Fifteen (LSE: NFC) also offers an excellent international growth profile. The advertising and PR specialist operates across the globe and has a particular focus on hi-tech opportunities in the US. This provides it with relatively low geographic risk and with the company having made multiple acquisitions, it has developed a portfolio of 17 different businesses that again help to de-risk the opportunity on offer to investors.

With Next Fifteen expected to increase its bottom line by 9% this year and by a further 10% next year, it offers above average growth prospects. And due to Next Fifteen having a PEG ratio of 1.2, it does so at what is a relatively appealing valuation. Therefore, with a diverse geographical exposure and a proven acquisition model, Next Fifteen appears to be a star buy for the long term.

The post 3 of the best international growth stocks: BP plc, Alliance Pharma plc and Next Fifteen Communications Group plc appeared first on The Twelfth Magpie.

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Peter Stephens owns shares of Alliance Pharma, BP, and Next Fifteen Communications. The Motley Fool UK has recommended BP. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.

Looking ahead, the uncertain outlook for the global economy could cause the pace of Next Fifteen’s share price rise to moderate somewhat. US interest rate increases appear very likely over the next year and this could cause investor sentiment towards cyclical stocks such as Next Fifteen to weaken. However, with the company having a sound business model that’s well-diversified, it may be able to continue to deliver upbeat growth numbers in the long run.

Certainly, earnings growth forecasts of 9% this year and 10% next year have huge appeal. And with Next Fifteen trading on a price-to-earnings growth (PEG) ratio of just 1.3, now seems to be an excellent time to buy a slice of it for the long run.

Worth a look

While Next Fifteen has enjoyed a strong year of share price growth, shares in healthcare company Clinigen (LSE: CLIN) have disappointed. That’s because they’ve fallen by 15% during the period despite Clinigen recording three successive years of double-digit growth.

In fact, Clinigen’s earnings per share have risen from 13.4p in 2012 to 28p in 2015. That’s an annualised rise of almost 28% and shows that Clinigen remains a very strong growth play. And with the company forecast to increase its bottom line by 21% in each of the next two years, investor sentiment could begin to pick up over the coming months.

That’s especially the case since Clinigen trades on a PEG ratio of just 0.6, which indicates that the market hasn’t yet begun to price-in its improving financial outlook. And with Clinigen having a beta of just 0.7, its shares could offer a less volatile shareholder experience in the short run. With the potential for increased uncertainty in the coming months, this could prove to be a major ally for the company’s investors.

Waiting game

Meanwhile, Sirius Minerals (LSE: SXX) has recorded a share price rise of 28% since the turn of the year, which brings its five-year capital gain to 100%. Clearly, that’s an impressive return, but Sirius Minerals has been a relatively risky investment during that time, with its success being heavily reliant on the approval of a major potash mine in York.

Although approval for the mine has now been granted, Sirius Minerals remains a relatively high-risk stock to own. It requires vast financing for such a large project and while investor sentiment towards the resources sector has improved of late, the commodity price collapse of recent years could still make fundraising more difficult for the firm.

Due to this, Sirius Minerals may be a stock to watch rather than buy at the moment – especially with a number of other smaller companies offering high growth and low valuations.

The post Are Sirius Minerals plc, Next Fifteen Communications Group plc and Clinigen Group plc the 3 hottest small-cap stocks around? appeared first on The Twelfth Magpie.

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Peter Stephens owns shares of Clinigen and Next Fifteen Communications. The Motley Fool UK has recommended Clinigen. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.

Looking ahead, Michael Page is expected to deliver a rise in earnings of 11% this year and further growth of 19% next year. These are impressive figures and the company’s valuation indicates that its share price could rapidly rise, with Michael Page having a price-to-earnings-growth (PEG) ratio of only 0.8. As such, and with the company having a very well-diversified operation across the world and the potential to benefit from a sustained global recovery, now seems to be a good time to buy it.

Growth ahead

Also reporting today was marketing company Next Fifteen (LSE: NFC). It’s also geographically well-diversified and its revenue growth of 18.9% for the full-year shows that it’s performing exceptionally well. Furthermore, Next Fifteen was able to improve its operating margin by 100 basis points, with it now being 12.7% and this helped it to grow earnings by 28% versus the prior year. And with Next Fifteen having built a portfolio of modern, technology-driven businesses, it seems to be well-placed to deliver further growth over the medium-to-long term.

In fact, over the next two years Next Fifteen is expected to grow its earnings by 20% and 9%, respectively. This rate of growth could help to boost investor sentiment in the stock and with Next Fifteen trading on a PEG ratio of just 1.3, there seems to be significant scope for major capital growth in the coming years. Therefore, even after its share price rise of 45% in the last year, Next Fifteen seems to make sense as an investment right now.

Buy for the long term

Meanwhile, Santander (LSE: BNC) remains a hugely well-diversified global bank, even though it has been hurt by the disappointing performance of the Brazilian economy. Brazil is a key market for Santander and even though other markets in which it operates have been able to offset the worse-than-expected performance experienced by the bank there, the company’s forecasts have still been downgraded in recent months.

The effect of this has been to hurt Santander’s share price and with its bottom line due to fall by 4% this year, investor sentiment could deteriorate further following Santander’s share price fall of 41% in the last year. However, with the bank now trading on a price-to-earnings (P/E) ratio of just 8.5 and forecast to return to growth next year, now could be an opportune moment to buy for the long term.

The post Are Banco Santander SA, Michael Page International plc And Next Fifteen Communications Group plc The Best Global Growth Plays? appeared first on The Twelfth Magpie.

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Peter Stephens owns shares of Next Fifteen Communications. The Motley Fool UK has no position in any of the shares mentioned. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.