Stock Analysis

3 ASX Growth Companies With Insider Ownership Up To 22%

ASX:MIN
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The Australian market is on the cusp of another record high, buoyed by strong performances in global indices and robust commodity prices, particularly in iron ore and precious metals. In this thriving environment, identifying growth companies with significant insider ownership can be a strategic move for investors looking to align with those who have a vested interest in their company's success.

Top 10 Growth Companies With High Insider Ownership In Australia

NameInsider OwnershipEarnings Growth
Clinuvel Pharmaceuticals (ASX:CUV)10.4%27.4%
Catalyst Metals (ASX:CYL)17%54.5%
Genmin (ASX:GEN)12%117.7%
AVA Risk Group (ASX:AVA)15.7%118.8%
Pointerra (ASX:3DP)18.7%126.4%
Liontown Resources (ASX:LTR)16.4%69.4%
Hillgrove Resources (ASX:HGO)10.4%70.9%
Acrux (ASX:ACR)17.4%91.6%
Adveritas (ASX:AV1)21.1%144.2%
Plenti Group (ASX:PLT)12.8%106.4%

Click here to see the full list of 101 stocks from our Fast Growing ASX Companies With High Insider Ownership screener.

Let's dive into some prime choices out of the screener.

Clinuvel Pharmaceuticals (ASX:CUV)

Simply Wall St Growth Rating: ★★★★★★

Overview: Clinuvel Pharmaceuticals Limited is a biopharmaceutical company that develops and commercializes treatments for genetic, metabolic, systemic, and life-threatening disorders across Australia, Europe, the United States, Switzerland, and internationally with a market cap of A$715.98 million.

Operations: The company's revenue primarily comes from the biopharmaceutical sector, amounting to A$88.18 million.

Insider Ownership: 10.4%

Clinuvel Pharmaceuticals, a growth company with high insider ownership, has reported substantial revenue and earnings growth, with revenues reaching A$95.31 million and net income of A$35.64 million for FY2024. The company is actively seeking M&A opportunities and has recently appointed three new non-executive directors to its board. Clinuvel's earnings are forecast to grow at 27.42% per year, significantly outpacing the Australian market average of 12.2%.

ASX:CUV Earnings and Revenue Growth as at Sep 2024
ASX:CUV Earnings and Revenue Growth as at Sep 2024

Develop Global (ASX:DVP)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Develop Global Limited, with a market cap of A$590.94 million, engages in the exploration and development of mineral resource properties in Australia through its subsidiaries.

Operations: Revenue Segments (in millions of A$): Develop Global generates revenue primarily from its Mining Services segment, which accounts for A$109.75 million.

Insider Ownership: 22.6%

Develop Global reported significant revenue growth, with sales reaching A$147.23 million for FY2024, up from A$67.76 million the previous year. Despite a net loss of A$11.96 million, this marks an improvement from the prior year's loss of A$17.89 million. The company is forecast to achieve annual earnings growth of 132.8% and revenue growth of 57.5%, both well above market averages, though recent shareholder dilution and low forecasted return on equity (13.1%) are concerns.

ASX:DVP Earnings and Revenue Growth as at Sep 2024
ASX:DVP Earnings and Revenue Growth as at Sep 2024

Mineral Resources (ASX:MIN)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Mineral Resources Limited, with a market cap of A$8.41 billion, operates as a mining services company in Australia, Asia, and internationally through its subsidiaries.

Operations: The company's revenue segments include Energy (A$16 million), Lithium (A$1.41 billion), Iron Ore (A$2.58 billion), and Mining Services (A$3.38 billion).

Insider Ownership: 11.7%

Mineral Resources Limited reported FY2024 sales of A$5.28 billion, up from A$4.78 billion the previous year, though net income dropped to A$125 million from A$243 million. Despite this, the company is forecasted to achieve annual earnings growth of 38.3%, significantly outpacing the Australian market's average. Insider activity shows more buying than selling recently, indicating confidence in future prospects despite lower profit margins and interest coverage concerns.

ASX:MIN Earnings and Revenue Growth as at Sep 2024
ASX:MIN Earnings and Revenue Growth as at Sep 2024

Summing It All Up

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.The analysis only considers stock directly held by insiders. It does not include indirectly owned stock through other vehicles such as corporate and/or trust entities. All forecast revenue and earnings growth rates quoted are in terms of annualised (per annum) growth rates over 1-3 years.

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