Stock Analysis

3 Growth Companies With High Insider Ownership On SIX Swiss Exchange Up To 22% Earnings Growth

SWX:STMN
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The Switzerland market ended weak on Monday, reflecting concerns about rising geopolitical tensions and awaiting inflation data from the Swiss and Eurozone economies. Despite this, the KOF Swiss Economic Institute's barometer indicates a recovery tendency in the economy, driven by improvements in manufacturing and financial services sectors. In such a volatile environment, growth companies with high insider ownership can offer unique investment opportunities as they often demonstrate strong alignment between management and shareholder interests.

Top 10 Growth Companies With High Insider Ownership In Switzerland

NameInsider OwnershipEarnings Growth
Stadler Rail (SWX:SRAIL)14.5%24.1%
VAT Group (SWX:VACN)10.2%22.5%
Straumann Holding (SWX:STMN)32.7%21.7%
Swissquote Group Holding (SWX:SQN)11.4%12.6%
LEM Holding (SWX:LEHN)29.9%18.4%
Temenos (SWX:TEMN)21.8%14.3%
HOCHDORF Holding (SWX:HOCN)15.7%122.2%
Leonteq (SWX:LEON)12.7%35.1%
Sensirion Holding (SWX:SENS)20.7%104.7%
Kudelski (SWX:KUD)37.5%121.7%

Click here to see the full list of 11 stocks from our Fast Growing SIX Swiss Exchange Companies With High Insider Ownership screener.

Let's take a closer look at a couple of our picks from the screened companies.

Partners Group Holding (SWX:PGHN)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Partners Group Holding AG is a private equity firm that specializes in direct, secondary, and primary investments across private equity, real estate, infrastructure, and debt with a market cap of CHF33.16 billion.

Operations: The company's revenue segments include CHF1.19 billion from Private Equity, CHF254.90 million from Infrastructure, CHF218.90 million from Private Credit, and CHF190.90 million from Real Estate.

Insider Ownership: 17%

Earnings Growth Forecast: 14.5% p.a.

Partners Group Holding AG, a growth company with high insider ownership, recently reported half-year net income of CHF 508 million, down from CHF 551.2 million a year ago. Despite this decline, the company's earnings are forecast to grow at 14.5% annually, outpacing the Swiss market's 11.7%. However, it has a high level of debt and its dividend yield of 3.07% is not well covered by earnings or free cash flows.

SWX:PGHN Ownership Breakdown as at Oct 2024
SWX:PGHN Ownership Breakdown as at Oct 2024

Straumann Holding (SWX:STMN)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Straumann Holding AG, with a market cap of CHF22.04 billion, provides tooth replacement and orthodontic solutions worldwide.

Operations: Straumann Holding AG generates revenue from various regions including CHF1.26 billion from Operations, CHF1.20 billion from Sales EMEA, CHF800.14 million from Sales NAM, CHF540.74 million from Sales APAC, and CHF282.34 million from Sales LATAM.

Insider Ownership: 32.7%

Earnings Growth Forecast: 21.7% p.a.

Straumann Holding's revenue is forecast to grow at 9.1% annually, outpacing the Swiss market's 4.4%. Earnings are expected to increase significantly at 21.7% per year, driven by strong corporate guidance predicting low double-digit organic revenue growth and profitability in the 27%-28% range. However, recent results show a decline in profit margins from 17.3% to 11.3%, and share price volatility remains high over the past three months despite substantial insider ownership supporting long-term growth prospects.

SWX:STMN Ownership Breakdown as at Oct 2024
SWX:STMN Ownership Breakdown as at Oct 2024

VAT Group (SWX:VACN)

Simply Wall St Growth Rating: ★★★★★☆

Overview: VAT Group AG develops, manufactures, and supplies vacuum valves, multi-valve units, vacuum modules, and edge-welded metal bellows globally with a market cap of CHF12.92 billion.

Operations: The company's revenue segments include Valves generating CHF783.51 million and Global Service contributing CHF163.83 million.

Insider Ownership: 10.2%

Earnings Growth Forecast: 22.5% p.a.

VAT Group's earnings are forecast to grow at 22.5% annually, significantly outpacing the Swiss market's 11.7%, with revenue expected to increase by 18.3% per year, also above market average. Recent half-year results showed a net income rise to CHF 94 million from CHF 84.2 million, despite slightly lower sales of CHF 449.61 million compared to the previous year’s CHF 453.75 million. The stock remains highly volatile but trades below its fair value estimate, indicating potential for long-term growth driven by high insider ownership and strong financial performance projections.

SWX:VACN Earnings and Revenue Growth as at Oct 2024
SWX:VACN Earnings and Revenue Growth as at Oct 2024

Key Takeaways

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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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