2 delicious FTSE growth stocks I’d buy and hold for 10 years

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Growth resources come in all shapes and sizes. I often think they fall into a few different categories in terms of what they do and offer. One example is a company that offers something unique or niche. Another is something quite common or universal that is in demand now and potentially in the coming years.

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Two stocks I’d love to buy whenever I can that fall into these categories are: Game workshops (LSE: GAW) i Metals from Central Asia (LSE: CAML).

Game workshops

Table games are very niche and very far from time-honored video games. Games Workshop has cornered its market with the popular Warhammer series. In fact, it has grown into a multi-billion pound business through incredible organic growth.

The company was so successful that it ventured into many different avenues, eventually including video games and beyond.

With this brand power comes phenomenal pricing power. Currently, the company boasts an operating margin of nearly 40%. Moreover, it managed to enhance revenues at an average rate of 14.5% year-on-year. Impressive if you ask me. Although I understand that the past is not a promise of the future.

The stock is trading at a price-to-earnings ratio of 24, which I don’t think is very high for probably one of the biggest growth stocks on the FTSE. It is worth noting, however, that a higher valuation is a risk. If negative trade news or other problems hit the company, shares could fall. I would be careful with this risk.

Finally, the 4.5% dividend yield can enhance as the business grows. However, I understand that dividends are never guaranteed.

As the name suggests, the company specializes in copper and zinc mining, with its own mines in Kazakhstan and North Macedonia.

Demand for these types of metals is growing as they form key components of major infrastructure initiatives, including electric vehicles (EVs), the green revolution and more. This is good news for business and potential shareholders, and profits and profits may enhance in this case.

The main risk associated with Central Asia Metals is the cyclical nature of copper prices. These fluctuations can cause performance to fluctuate up and down, which could impact returns. I must admit that this external risk and the lack of control over the company in terms of pricing power make me a little concerned.

A smaller – but still noteworthy – risk is operational problems at mining sites that can harm production levels and efficiency. This situation could have a negative impact on sales, profits and investor returns. However, it is worth noting that this is a risk for all mining and commodity companies.

Back to the good stuff, the huge dividend yield of nearly 9% makes the stock more attractive. Moreover, the stock looks decent to me in terms of value for money, given its price-to-earnings growth ratio of 0.5. Any reading below one often indicates that the stock is undervalued.

Overall, I believe Central Asia Metals is poised for tremendous growth. Buying a few shares now to capitalize on them could be a shrewd move, which is why I’ve been paying attention to these stocks.

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