Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying strong candidates can be challenging. COPT Defense (CDP) is highlighted as a recommended growth stock based on its favorable Growth Score and top Zacks Rank [1]. Earnings Growth - COPT Defense has a historical EPS growth rate of 4.6%, with projected EPS growth of 4.3% this year, significantly outperforming the industry average of 0.2% [3]. Asset Utilization Ratio - The company has an asset utilization ratio (sales-to-total-assets) of 0.17, indicating it generates $0.17 in sales for every dollar in assets, which is higher than the industry average of 0.13. Additionally, COPT Defense's sales are expected to grow by 4.9% this year, compared to the industry average of 2.1% [4]. Earnings Estimate Revisions - The current-year earnings estimates for COPT Defense have increased by 1.5% over the past month, indicating a positive trend in earnings estimate revisions, which is correlated with near-term stock price movements [5]. Overall Assessment - COPT Defense has achieved a Growth Score of B and holds a Zacks Rank 2, positioning it favorably for potential outperformance in the growth stock category [6].
3 Reasons Why Growth Investors Shouldn't Overlook COPT Defense (CDP)