There are three stocks that have captured my attention lately. One is subject to new regulatory risk in which the P/E ratio has fallen substantially even though the profits are still growing. Once the dust settles, I believe investors will be looking at 16% annual returns over the medium term.
The second stock is a well-known, large-cap company that has a strong possibility of continuing to grow earnings per share in the 13% range.
And finally, the last stock is a mega-cap that is still growing at a fast double-digit clip even though the P/E ratio has now come down to a reasonable range.