3 Growth Stocks To Buy After Impressive Earnings

h2 3 Growth Stocks Backing Up High Valuations With Impressive Earnings

The most successful investors use earnings season as an opportunity to identify future leaders in the market and assess what companies are worth holding on to. These reports can be huge catalysts for the price of a stock and provide us with critical information about how a business is performing and what kind of numbers it might put up in the future. Here's a pro tip - instead of trying to guess what the reaction to a specific company’s report will be by adding a position before the release, it makes a lot more sense to take a wait & see approach and add shares after the print.

This is can be a particularly effective strategy for growth stocks since these companies are expected to impress quarter after quarter in order to justify their valuations. That’s why we often see growth companies get brutally punished for failing to exceed expectations or take off and rally on surprisingly good numbers.

If you are trying to identify some quality growth stocks to buy after reporting impressive earnings, here are 3 names to consider:

h2 LendingClub Corp (NYSE:LC) /h2

This fintech company has created America’s largest lending marketplace connecting borrowers and investors and is helping consumers to take control of their finances with convenient personal loans. Lending Club has already helped over 3 million members to obtain over $60 billion in personal loans. The company has some of the lowest eligibility requirements on the market, making it easy for people to obtain the financing that they need. Atlassian's most popular tools like Jira and Trello are used by thousands of teams worldwide and have helped the company to attract high-profile clients like Nasa, eBay (NASDAQ:EBAY), Cisco (NASDAQ:CSCO), and Airbnb.

Atlassian just reported another stellar quarter including Q1 revenue growth of 34% to $614 million and quarterly subscription revenue of $435 million, up 57% year-over-year. It’s clear that the company continues to attract new clients with its innovative software, as Atlassian added 11,746 new customers last quarter, up 36% year-over-year. While this software growth stock is not cheap by any means, the company is putting up the growth numbers to back up its valuation and has clearly created something unique, which is why it’s a solid pick post-earnings.

Original Post

/h2

Written By: MarketBeat.com