3 Of The Most Exciting Stocks That Money Can Buy! ARM Holdings plc, Emis Group Plc & Playtech PLC

These 3 stocks offer excitement and significant capital growth potential: ARM Holdings plc (LON: ARM), Emis Group Plc (LON: EMIS) and Playtech PLC (LON: PTEC)

| More on:

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

For many people, investing is exciting. In the same way as betting on a horse or playing the lottery, you never quite know how your investment in a company is going to pan out. Certainly, you can sometimes win, but other times you can lose, which for many investors is a major reason to get involved.

However, for other investors the really exciting part of investing is in enjoying the benefits of generating substantial profits on your hard-earned cash. In other words, it is the product of investing (i.e. profits) that really gets the pulse racing.

Inflation Is Coming

Inflation is out of control, and people are running scared. But right now there’s one thing we believe Investors should avoid doing at all costs… and that’s doing nothing. That’s why we’ve put together a special report that uncovers 3 of our top UK and US share ideas to try and best hedge against inflation… and better still, we’re giving it away completely FREE today!

Click here to claim your copy now!

And, on this front, ARM (LSE: ARM) (NASDAQ: ARMH.US) has bags of potential to be an exciting stock. Certainly, its business model is hugely interesting and being involved in intellectual property means that it is at the forefront of design. However, the real appeal with ARM is the capital gain potential that it offers. In fact, ARM has already begun delivering on its appeal during 2015 (its shares are up 20% in the last year) and, with its bottom line set to rise by 73% this year and by a further 20% next year, it has a clear catalyst for further share price rises.

Moreover, ARM trades on a price to earnings growth (PEG) ratio of just 1.5 which, for a company so dominant in its field and which has a super-efficient business model that doesn’t force it to get bogged down in manufacturing, is very appealing.

Of course, ARM’s economic moat is also substantial and, on this front, software company, Emis (LSE: EMIS) also holds considerable appeal. That’s because it offers a service to health care providers which provides it with a highly reliable recurring revenue stream, since it would require a significant amount of upheaval for its customers to switch to one of Emis’ competitors.

As such, Emis is able to generate impressive margins and is expected to grow its bottom line by 14% in the current year. This, combined with a price to earnings (P/E) ratio of 20.7, equates to a PEG ratio of 1.6, which indicates that the company’s share price could move much higher.

Meanwhile, online gambling company, Playtech (LSE: PTEC), has an excellent track record of earnings growth, with it having risen by 74% between 2009 and 2014. And, looking ahead, further growth is being forecast, with Playtech due to deliver a rise in its earnings of 5% this year and 17% next year.

This could prove to be a positive catalyst for the company’s share price over the medium term and, with M&A activity very much a key part of its strategy (for example it acquired contracts-for-difference broker, Ava Trade, this week), its shares could be well-worth buying. That’s especially the case since Playtech trades on a PEG ratio of just 0.9, which indicates that it offers good value for money.

More on Investing Articles

Mixed-race female couple enjoying themselves on a walk
Investing Articles

How I’d invest £1,000 a year to get passive income for life!

I’m looking to double my money by investing in a dividend stock that will give me a reliable passive income…

Read more »

Preparing a budget during a pandemic
Investing Articles

2 high-potential FTSE 250 stocks to buy and hold for 5 years!

The FTSE 250 is a good place to search for the next big British stocks. So, here are two companies…

Read more »

Black father holding daughter in a field of cows
Investing Articles

Could my Stocks and Shares ISA generate £30,000 a year?

Over 2m UK citizens make some use of a Stocks and Shares ISA every year. Our writer considers if it’s…

Read more »

Surprised Black girl holding teddy bear toy on Christmas
Investing Articles

4 dividend stocks that can help me fight inflation!

I'm looking at dividend stocks to help my portfolio grow and overcome the impact of high inflation. Here are the…

Read more »

Black woman using loudspeaker to be heard
Investing Articles

2 bargain UK shares trading at less than book value

Book value is a great way to value a stock. These UK shares are trading at a price-to-book ratio of…

Read more »

Happy young female stock-picker in a cafe
Investing Articles

A FTSE AIM stock I’d add to my Stocks & Shares ISA in July

Henry Adefope highlights a FTSE AIM stock he believes could generate significant upside for his portfolio if he buys this…

Read more »

Warren Buffett at a Berkshire Hathaway AGM
Investing Articles

I’m following Warren Buffett and buying cheap dividend shares to build my wealth

I think this cheap dividend stock exhibits similar qualities to the companies Warren Buffett has in his investment portfolio.

Read more »

Smiling young man sitting in cafe and checking messages, with his laptop in front of him.
Investing Articles

2 cheap FTSE 100 shares I’m buying during the dip!

Andrew Woods explains that low P/E ratios and profitable businesses attract him to these two FTSE 100 shares.

Read more »