Money Hackers Network
Discover Great Personal Finance Blogs

Growth Stocks

By Pinyo • Sep 5th, 2008 • Category: G

Growth stocks are shares in a company whose earnings are expected to grow at an above-average rate relative to the market. The company is growing earnings and/or revenue faster than its industry or the overall market. However, It’s important that you do not mistaken “growth” for higher return on investment.

Based on the Efficient Market Hypothesis, the market already taken the higher growth rate into account and it is already reflected in the price.  A value stock could turnaround, become more favorable, and outperforms a growth stock at any time.

Related terms: Value Stocks

Share this article

  • Submit to PFBuzz.com
  • Submit to Stumble Upon
  • Submit to Reddit
  • Submit to Delicious
  • Submit to Digg

No comments yet.

Please share your comment:

Please read our comment policy and guidelines.


Please do not use the name of your site or keywords.

Important Notice

Money Hackers Network is a collaboration among personal finance bloggers to cross-promote each other via link to and from the network site, link to the blogroll, and through the aggregated search engine. Money Hackers Network and its members are not responsible for content published on specific member's site. If you notice any member site that violates the copyright law, uses inappropriate language, no longer active, or no longer has link back to the network site (or blogroll), please contact me and I will consider it for removal.