2 fast rising FTSE 250 growth stocks I'd buy today

Often, investors are less inclined to buy shares that have generated high returns in recent months. After all, their valuations will inevitably be higher than they were, and this can mean less upside potential for new investors.

However, just because a company is popular among investors doesn't necessarily mean it's worth avoiding. It may have improving forecasts, or still offer a wide margin of safety. With that in mind, here are two FTSE 250 shares which have risen sharply in recent months and could continue to do so in the long run.

Improving performance

Releasing a production report for the first half of the year on Wednesday was gold and silver miner Hochschild(LSE: HOC). The company's share price gained 4.5% on the day, taking its rise since the start of the year to 27%.

Production in the first half has been in line with expectations. The company has produced 8.9m ounces of silver and 121,430 ounces of gold. It's on target to deliver its overall 2017 production target of 37m silver equivalent ounces. This is due to be done at an all-in sustaining cost per silver equivalent ounce of between $12.20 and $12.70. This is in line with guidance and shows that the company continues to keep costs low in a competitive environment.

Looking ahead, Hochschild is forecast to report a rise in its bottom line of 89% for the next financial year. This puts its shares on a price-to-earnings growth (PEG) ratio of just 0.2, which suggests they are grossly undervalued even after their gain since the start of the year. As such, now could be the perfect time to buy the company for the long term.

Continued turnaround

Also offering capital growth potential is fellow mining company KAZ Minerals(LSE: KAZ). It experienced a difficult period in and around 2014, with the company reporting a red bottom line in that year. Since then, it has embarked on a major turnaround which has coincided with improving production. The company is now profitable and is expected to record a rise in its bottom line of 81% in the current year, followed by further growth of 35% next year.

This high rate of growth puts the company on a PEG ratio of just 0.2. Given its potential to deliver even higher levels of profit, this seems to be difficult to justify. As such, and despite a share price rise of 63% since the start of the year, more capital growth could be ahead.

In terms of its sustainability, KAZ Minerals appears to have confidence in its future. It's forecast to recommence dividends next year after a five-year hiatus. This could suggest to investors that the company has a sound financial position and is confident regarding future profitability. This may boost investor sentiment and push the company's shares to higher highs. Therefore, there may still be a buying opportunity at present.

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Peter Stephens owns shares of KAZ Minerals. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

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