Stock Analysis

3 Chinese Growth Stocks With High Insider Ownership And 25% Revenue Growth

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As Chinese stocks face headwinds from weak inflation data and economic uncertainties, investors are increasingly looking for growth opportunities with strong fundamentals. In this context, companies with high insider ownership and robust revenue growth stand out as compelling options.

Top 10 Growth Companies With High Insider Ownership In China

NameInsider OwnershipEarnings Growth
ShenZhen Woer Heat-Shrinkable MaterialLtd (SZSE:002130)18%28.7%
Jiayou International LogisticsLtd (SHSE:603871)22.6%24.6%
Western Regions Tourism DevelopmentLtd (SZSE:300859)13.9%39.2%
Arctech Solar Holding (SHSE:688408)38.6%29.9%
Quick Intelligent EquipmentLtd (SHSE:603203)34.4%33.1%
UTour Group (SZSE:002707)23%25.2%
Suzhou Sunmun Technology (SZSE:300522)36.5%67.5%
Sineng ElectricLtd (SZSE:300827)36.5%41.7%
BIWIN Storage Technology (SHSE:688525)18.8%116.8%
Offcn Education Technology (SZSE:002607)25.1%75.7%

Click here to see the full list of 380 stocks from our Fast Growing Chinese Companies With High Insider Ownership screener.

We're going to check out a few of the best picks from our screener tool.

JiangSu Zhenjiang New Energy Equipment (SHSE:603507)

Simply Wall St Growth Rating: ★★★★★☆

Overview: JiangSu Zhenjiang New Energy Equipment Co., Ltd. operates in the new energy equipment sector and has a market cap of CN¥3.92 billion.

Operations: JiangSu Zhenjiang New Energy Equipment Co., Ltd. generates revenue from various segments within the new energy equipment sector.

Insider Ownership: 29.1%

Revenue Growth Forecast: 25.9% p.a.

JiangSu Zhenjiang New Energy Equipment reported strong half-year earnings with CNY 123.46 million net income, up from CNY 78.18 million last year, and revenue of CNY 1.96 billion. The company's Price-To-Earnings ratio (17.1x) is below the CN market average, indicating good value. Earnings grew by 71.7% over the past year and are forecast to grow at an annual rate of 38.11%, outpacing the CN market's growth rate of 23.1%.

SHSE:603507 Earnings and Revenue Growth as at Sep 2024

Willfar Information Technology (SHSE:688100)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Willfar Information Technology Co., Ltd. provides smart utility services and IoT solutions in China and internationally, with a market cap of CN¥16.87 billion.

Operations: Willfar Information Technology Co., Ltd. generates revenue through smart utility services and IoT solutions both domestically and globally.

Insider Ownership: 21.2%

Revenue Growth Forecast: 23% p.a.

Willfar Information Technology reported strong half-year earnings with CNY 271.82 million net income, up from CNY 214.85 million last year, and revenue of CNY 1.22 billion. The company's Price-To-Earnings ratio (29x) is below the Electronic industry average, indicating good value. Analysts expect annual profit growth of 22.5% over the next three years, slightly below the CN market but still significant. Recent contract wins totaling approximately RMB 311.59 million bolster its growth prospects further.

SHSE:688100 Earnings and Revenue Growth as at Sep 2024

POCO Holding (SZSE:300811)

Simply Wall St Growth Rating: ★★★★★☆

Overview: POCO Holding Co., Ltd. develops, produces, and sells alloy soft magnetic powder, alloy soft magnetic cores, and related inductance components for downstream users of electronic equipment with a market cap of CN¥10.68 billion.

Operations: The company's revenue segments include the development, production, and sale of alloy soft magnetic powder, alloy soft magnetic cores, and related inductance components for downstream users of electronic equipment.

Insider Ownership: 24.8%

Revenue Growth Forecast: 25.6% p.a.

POCO Holding's earnings are forecast to grow 27.49% annually, outpacing the CN market's 23.1%, with revenue expected to rise by 25.6% per year. Recently, the company reported half-year sales of CNY 794.72 million and net income of CNY 185.22 million, reflecting substantial growth from last year. Despite trading at a slight discount to its estimated fair value, insider ownership remains high without significant recent insider trading activity, underscoring confidence in its future prospects.

SZSE:300811 Ownership Breakdown as at Sep 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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