Saturday, August 13, 2011

High Growth Quality Stocks From the Wells Fargo Advantage Growth Fund

High Growth Quality Stocks From the Wells Fargo Advantage Growth Fund ; Thomas Ognar, manager of Wells Fargo Advantage Growth Fund (SGRNX), has outstanding growth stock picking skills. As of 8/11/2011, the fund delivered the following performance:

5 Yrs 10 Yrs 15 Yrs

SGRNX

10.82 6.31 8.36
S&P 500 TR 0.58 1.80 5.75

Ognar seeks long-term capital appreciation and invests principally in equity securities of companies that are believed to have prospects for robust and sustainable growth of revenues and earnings. Let's look at its top 10 tholdings:
Ticker Company Name % Asset
AAPL Apple, Inc. 5.49%
PX Praxair, Inc. 2.67%
KMX CarMax, Inc. 2.50%
WFM Whole Foods Market, Inc. 2.32%
CTSH Cognizant Technology Solutions Corporation A 2.30%
PXD Pioneer Natural Resources Company 2.22%
STJ St Jude Medical, Inc. 2.07%
ALXN Alexion Pharmaceuticals, Inc. 2.05%
PCLN Priceline.com, Inc. 2.03%
TSCO Tractor Supply 1.96%

These stocks have the following ratios:

SGRNX Large Cap Growth Average
Price/Earnings 23.69 16.67
Price/Book 3.75 2.97
Price/Sales 2.64 1.87
Price/Cashflow 13.60 9.75
3 Year Earnings Growth 20.22% 15.15%

So we can see that these stocks are not cheap, compared with other large growth stocks. But they have excellent earnings growth (20% in the last 3 years), as exemplified by stocks like Apple (AAPL), Priceline (PCLN) (which has enjoyed solid earning growth in this frugal economic environment) and Whole Foods (WFM) (still enjoyed by upper class consumers who are actually less affected by this balance sheet repairing downturn). (source seekingalpha.com ) For the latest updates PRESS CTR + D or visit Stock Market news Today

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