There are so many shares to choose from in the ASX, but a lot of them aren’t going to create market-beating returns for your portfolio.
You either have to find decent businesses trading at great value, or good businesses trading at an attractive price.
If I had $10,000 to invest today, these are the shares I’d choose.
National Veterinary Care Ltd (ASX: NVL)
The young veterinary clinic company is making a strong impact in the veterinary industry. It’s already almost the second biggest vet group in Australia and New Zealand. I expect more acquisitions will be announced in FY18, which should boost growth further.
The combination of pet industry growth plus the relative defensive earnings will see National Vet Care be a winner. I’d allocate $2,500 to this stock.
Class Ltd (ASX: CL1)
This self-managed superannuation fund (SMSF) software provider is revolutionising the SMSF accounting industry with powerful automation and efficiency tools.
Thousands of SMSF accounts are transitioned on to the software every quarter and the Non-SMSF software could also provide a winner.
It still has a fairly high price/earnings ratio, which is why I’d only allocate $1,500 at today’s price.
WAM Microcap Limited (ASX: WMI)
There are so many shares out there that it’s impossible to analyse them all. However, that doesn’t mean that you can’t get quick and easy exposure to shares that have the potential to outperform.
WAM Microcap is a listed investment company that focuses on the smallest end of the share market. It has generated strong returns so far in FY18, growing the portfolio by 20.9%, which is why I’d be happy to allocate $2,500.
Bapcor Ltd (ASX: BAP)
Bapcor offers investors a piece of the auto industry pie, the biggest piece in-fact due to all of its acquisitions over the last few years.
Management have expertly integrated these acquisitions and grown margins, FY18 and FY19 could reveal more strong results. I’d put $1,500 towards Bapcor shares.
Ramsay Health Care Limited (ASX: RHC)
Ramsay could be one of the biggest beneficiaries of the ageing population over the next two decades. Its private hospitals are expected to receive more patients as more people reach that age where a hospital visit in likely.
I’d put $2,000 towards Ramsay at today’s price.
There you have it. The above five shares are a diverse group, I expect and hope most of them beat the market because I’m a shareholder in all of them except Class.
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Motley Fool contributor Tristan Harrison owns shares of Bapcor, NATVETCARE FPO, Ramsay Health Care Limited, and WAM MICRO FPO. The Motley Fool Australia owns shares of and has recommended Bapcor, Class and NATVETCARE FPO. The Motley Fool Australia has recommended Ramsay Health Care Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.