If you think investing in small caps is the only way to bet on big growth, think again.
Large-cap stocks — companies with a market capitalization over $10 billion — are usually seen as slow-and-steady investments whose biggest growth has already come and gone. Still, there are some names in that category whose bottom lines are far from fully grown.
A quick screen reveals a handful of large-cap names expected to post annual EPS growth north of 25% not just this year, but every year for the next half-decade.
Of course, a good chunk of those — including companies like Toyota (TM) and Honda (HMC) — probably would be more accurately classified as “recovering” than “growing.” Automakers got pounded during the financial crisis, TM an HMC then suffered the Tohoku earthquake and tsunami, and a strong yen further dwindled Japanese profits.
But other large-cap stocks have indeed been improving earnings during the past five years, and still are poised to post solid growth in years to come. Let’s take a look: