Market Overview - Equity markets are experiencing volatility due to geopolitical uncertainties and elevated interest rates, which are unfavorable for investors accustomed to ultra-low rates [1] - Companies that can fund their own growth through profits rather than relying on external financing are becoming increasingly important in the current economic environment [1] Investment Strategy - BlackRock has recommended focusing on high-quality income and durable growth opportunities, suggesting that the current market presents a unique chance since the Global Financial Crisis [2] - Durable growth in a high-interest environment is associated with companies that exhibit healthy profitability, leading to a search for profitable growth stocks that do not require high-interest financing [3] Methodology for Stock Selection - A list of 13 profitable growth stocks was compiled, focusing on companies with a market cap of at least $2 billion and expected revenue growth of at least 30% over the next year [5] - The stocks were sorted by net profit and are also favored by hedge funds, indicating strong market interest [5][6] Company Highlights ARMOUR Residential REIT, Inc. (NYSE:ARR) - Reported Q4 fiscal 2025 net income of $208.7 million, or $1.86 per share, with net interest income of $50.4 million [7] - Raised $3.8 million through preferred stock and $138 million through common stock, issuing approximately 7.5 million common shares [8] - Distributed dividends of $0.24 per common share monthly, totaling $0.72 for the quarter, with management expressing confidence in the company's strategy and dividend outlook for 2026 [9][10] TG Therapeutics, Inc. (NASDAQ:TGTX) - Reported Q4 net income of $23 million, contributing to a full-year net income of $447.2 million, with total global revenue of $616 million for 2025 [13] - Operating expenses for the year were approximately $328 million, projected to rise to $350 million in 2026, plus an additional $100 million for manufacturing and start-up activities [14] - The company expects U.S. revenue to grow sequentially in Q1 to approximately $185 million to $190 million [14] Gildan Activewear Inc. (NYSE:GIL) - Reported Q4 revenue of $1.08 billion, a 31.4% year-over-year increase, and Non-GAAP EPS of $0.96, slightly above estimates [17] - Operating cash flows increased by 59.8%, and free cash flows rose by 46.4% year-over-year [17] - Returned $33 million to shareholders through dividends and share repurchases, with a 10% dividend increase announced for 2026 [18]