Stock Analysis

TSX Growth Companies With High Insider Ownership And Earnings Growth Up To 51%

TSX:PRL
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As recent economic indicators show a moderating inflation environment in Canada, with the Bank of Canada initiating a rate cut, the stage is set for potential shifts in investment landscapes. In this context, growth companies with high insider ownership on the TSX stand out as particularly intriguing, as such ownership can signal confidence in the company's future from those who know it best.

Top 10 Growth Companies With High Insider Ownership In Canada

NameInsider OwnershipEarnings Growth
Payfare (TSX:PAY)15%46.7%
goeasy (TSX:GSY)21.7%15.8%
Propel Holdings (TSX:PRL)40%36.4%
Allied Gold (TSX:AAUC)22.5%68.2%
Aritzia (TSX:ATZ)19%51.2%
ROK Resources (TSXV:ROK)16.6%159.6%
Aya Gold & Silver (TSX:AYA)10.2%51.6%
Silver X Mining (TSXV:AGX)14.2%144.2%
Ivanhoe Mines (TSX:IVN)13%65.5%
Artemis Gold (TSXV:ARTG)31.8%48.8%

Click here to see the full list of 30 stocks from our Fast Growing TSX Companies With High Insider Ownership screener.

Let's uncover some gems from our specialized screener.

Aritzia (TSX:ATZ)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Aritzia Inc., a Canadian fashion retailer, designs and sells women's apparel and accessories primarily in the United States and Canada, with a market capitalization of approximately CA$4.22 billion.

Operations: The company generates its revenue primarily from the sale of women's apparel, totaling CA$2.33 billion.

Insider Ownership: 19%

Earnings Growth Forecast: 51.2% p.a.

Aritzia has demonstrated a robust growth outlook with expected annual revenue increases of 8% to 12%, reaching up to CAD 2.62 billion in fiscal 2025. Despite a recent dip in net profit from CAD 187.59 million to CAD 78.78 million, the company's strategic share buybacks and high forecasted return on equity (24.7%) suggest confidence in future profitability and shareholder value enhancement. However, current trading levels significantly below estimated fair value indicate potential undervaluation, presenting an intriguing aspect for growth-focused investors with an eye on insider-owned firms.

TSX:ATZ Earnings and Revenue Growth as at Jun 2024
TSX:ATZ Earnings and Revenue Growth as at Jun 2024

Colliers International Group (TSX:CIGI)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Colliers International Group Inc. operates as a global provider of commercial real estate professional and investment management services, with a market capitalization of approximately CA$7.62 billion.

Operations: The company generates revenue primarily from the Americas (CA$2.53 billion), followed by Europe, the Middle East & Africa (CA$730.10 million), Asia Pacific (CA$616.58 million), and Investment Management services (CA$489.23 million).

Insider Ownership: 14.3%

Earnings Growth Forecast: 38.3% p.a.

Colliers International Group has recently engaged in significant activities, including a new contract to market and potentially finance or sell a large property in Mississippi, reflecting its strategic growth initiatives. Despite trading at 56.2% below its estimated fair value and experiencing shareholder dilution over the past year, Colliers shows promising financial recovery with a substantial increase in earnings by 119.8% from the previous year and an expected earnings growth of 38.3% per year. However, it faces challenges with insider transactions where selling outweighed buying significantly over the last quarter, hinting at potential concerns among insiders about the company's short-term prospects.

TSX:CIGI Ownership Breakdown as at Jun 2024
TSX:CIGI Ownership Breakdown as at Jun 2024

Propel Holdings (TSX:PRL)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Propel Holdings Inc. is a financial technology company with a market capitalization of approximately CA$786.77 million.

Operations: The company generates CA$347.37 million from offering lending-related services to borrowers, banks, and other institutions.

Insider Ownership: 40%

Earnings Growth Forecast: 36.4% p.a.

Propel Holdings has demonstrated robust financial growth, with earnings increasing by 79.4% over the past year and both revenue and earnings expected to outpace the Canadian market significantly in upcoming years. Despite this strong performance, there are concerns regarding its financial structure as dividends are not well-covered by cash flows, and interest payments strain earnings. Recent activities include a dividend increase and a new digital credit insurance product launch, enhancing its service offerings.

TSX:PRL Earnings and Revenue Growth as at Jun 2024
TSX:PRL Earnings and Revenue Growth as at Jun 2024

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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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