SeekingAlpha  Aug 17  Comment 
By Wade Slome, CFA: Investing in the stock market can be quite stressful, especially during periods of volatility…but investing doesn't have to be nerve-racking. Investing legend T. Rowe Price captured the beneficial sentiments of growth...
SeekingAlpha  Aug 15  Comment 
By Arie Goren: Prudential Financial, Inc. (NYSE:PRU) stock is an excellent combination of value and dividend growth stock. Prudential is benefiting from growth of fees, especially in its Annuities and Asset Management businesses. Although PRU's...
SeekingAlpha  Aug 14  Comment 
By George Schneider: A conservative investor can choose wisely from the CCC lists to begin his research and due diligence. Selecting companies with records of long, consistent, increasing dividend payouts, the investor can then continually...
SeekingAlpha  Aug 13  Comment 
By Dividends4Life: We all know what surprising the street will do to a stock's price. The street focuses on quarterly revenue, EPS, EBIT, EBITDA and margins. The income statement is where you find all the metrics that the street loves. Therefore,...
SeekingAlpha  Aug 12  Comment 
By Abraham Kahn: The purpose of this analysis will be to evaluate whether the stock of Chipotle Mexican Grill (NYSE:CMG) will continue to be a superior growth stock in the long-term (10-year) future. When considering the value of a stock such as...
Dividend Growth Investor  Aug 12  Comment 
After purchasing shares in 14 companies in the previous week, I didn't expect to put any more money to work until sometime in September. However, sometimes, there are external factors that come up my way, which can cause me to act in a certain...
Motley Fool  Aug 9  Comment 
Fine-tune your growth investing skills for greater profits.
Motley Fool  Aug 8  Comment 
Investing for aggressive growth may be thrilling, but you need to be levelheaded to succeed.
SeekingAlpha  Aug 8  Comment 
By Chuck Carnevale: Introduction I believe that retired investors that choose to invest in dividend growth stocks in order to achieve a growing dividend income stream should follow a couple of important rules. For starters, they should...
SeekingAlpha  Aug 6  Comment 
By Regarded Solutions: For many years now, I have been preaching about dividend growth investing to just about any investor who cared to listen. The foundation for a more secure financial future can be found by investing in mega cap, blue chip,...


Overview: Growth investing is the philosophy of investing in a security that shows signs of above-average earnings growth as compared to its industry or the overall market, even if the security appears expensive from a price-to-earnings or price-to-book perspective.

Theory: In addition to above average earnings growth, the theory behind growth stock investing, as opposed to value investing, is that stocks breaking into new price highs have no overhead supply. Because there is no overhead supply with stocks breaking into new price highs, the stock runs into less resistance. [1]

People: William O'Neil, who is recognized as the father of growth stock investing[2] dubbed this phenomenon the "Great Market Paradox". O'Neil in his book "How To Make Money In Stocks" claims to have researched the greatest winning stocks, and developed the "CAN SLIM" system that is largely the basis of growth stock investing.

This style of investing is also called capital growth investing since growth investors seek to maximize capital gains, not income from dividends. Companies that generally fall under this category tend to be driven by new technologies and/or domination of a niche market.

Notable proponents of this strategy include Philip Arthur Fisher, Jim Slater, Peter Lynch and Warren Buffett, although the latter has often maintained that there is no theoretical difference between value investing and growth investing.

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki