Ningbo Deye Technology Group And Two More Growth Leaders With High Insider Ownership On The Chinese Exchange

As China's markets show signs of recovery, buoyed by strong holiday spending and positive trade data, investors are closely watching trends that could influence their portfolios. In this environment, growth companies with high insider ownership like Ningbo Deye Technology Group offer a unique appeal, potentially aligning management interests with those of shareholders amidst the evolving economic landscape.

Top 10 Growth Companies With High Insider Ownership In China

Name	Insider Ownership	Earnings Growth
YanKer shop FoodLtd (SZSE:002847)	29.2%	23.9%
Zhejiang Songyuan Automotive Safety SystemsLtd (SZSE:300893)	20%	24.2%
Suzhou Sunmun Technology (SZSE:300522)	37.6%	63.4%
Arctech Solar Holding (SHSE:688408)	38.7%	25.9%
UTour Group (SZSE:002707)	24%	33.1%
Sineng ElectricLtd (SZSE:300827)	36.5%	39.8%
Fujian Wanchen Biotechnology Group (SZSE:300972)	15.3%	75.9%
Anhui Huaheng Biotechnology (SHSE:688639)	28.3%	28.5%
Jilin University Zhengyuan Information Technologies (SZSE:003029)	12.1%	69.2%
Offcn Education Technology (SZSE:002607)	26.1%	72.3%

Click here to see the full list of 405 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.

Ningbo Deye Technology Group (SHSE:605117)

Simply Wall St Growth Rating: ★★★★★★

Overview: Ningbo Deye Technology Group Co., Ltd. is a global company based in China, specializing in the manufacture and sales of heat exchangers, inverters, and dehumidifiers, with a market capitalization of approximately CN¥40.63 billion.

Operations: The company generates its revenue from the production and sales of heat exchangers, inverters, and dehumidifiers across various global markets including China, the United Kingdom, the United States, Germany, and India.

Insider Ownership: 24.8%

Revenue Growth Forecast: 28.0% p.a.

Ningbo Deye Technology Group, a growth-oriented company with significant insider ownership, reported a substantial increase in annual sales to CNY 7.48 billion and net income to CNY 1.79 billion for the year ended December 31, 2023. Despite a recent dip in quarterly revenue and net income, the firm's earnings are expected to grow by an impressive 28.4% annually over the next three years, outpacing the Chinese market average. With a P/E ratio of 24.8x below the market average and forecasted high return on equity at 34.1%, Ningbo Deye demonstrates strong future profitability potential though its dividends appear less sustainable due to insufficient cash flow coverage.

• Take a closer look at Ningbo Deye Technology Group's potential here in our earnings growth report.
• The analysis detailed in our Ningbo Deye Technology Group valuation report hints at an inflated share price compared to its estimated value.

Naruida Technology (SHSE:688522)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Naruida Technology Co., Ltd., based in China, specializes in the production and sale of polarized multifunctional active phased array radars, with a market capitalization of CN¥10.52 billion.

Operations: The company generates CN¥208.86 million from the production and sales of radar products.

Insider Ownership: 17.8%

Revenue Growth Forecast: 52.3% p.a.

Naruida Technology, despite a recent decline in quarterly earnings from CNY 35.12 million to CNY 31.49 million and net income halving to CNY 4.23 million, is poised for significant growth with expected annual profit increases of 58.23% over the next three years, outstripping the Chinese market's forecast of 23.3%. This growth company, now part of the Shanghai Stock Exchange Composite Index, has initiated a share buyback worth up to CNY 30 million to support ESOP or equity incentives, highlighting strong insider confidence despite its highly volatile share price and lower than last year's profit margins at 29%.

• Unlock comprehensive insights into our analysis of Naruida Technology stock in this growth report.
• Our valuation report unveils the possibility Naruida Technology's shares may be trading at a premium.

Shanghai Huace Navigation Technology (SZSE:300627)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Shanghai Huace Navigation Technology Ltd. specializes in the development and manufacturing of geospatial data processing technology, with a market capitalization of CN¥16.63 billion.

Operations: The company generates revenue through the development and manufacturing of geospatial data processing technology.

Insider Ownership: 26.5%

Revenue Growth Forecast: 22.4% p.a.

Shanghai Huace Navigation Technology, with its robust insider ownership, reported a substantial year-over-year increase in Q1 2024 earnings, from CNY 79.07 million to CNY 103.06 million and revenue growth from CNY 511.85 million to CNY 616.91 million. Despite a Price-To-Earnings ratio below the industry average at 35.1x, analysts predict a potential stock price increase of 24.7%. However, its forecasted earnings growth of 21.65% per year trails the broader Chinese market's projection of 23.3%, and its Return on Equity is expected to remain low at around 18.5% in three years' time, reflecting some concerns about future profitability and efficiency.

• Click here and access our complete growth analysis report to understand the dynamics of Shanghai Huace Navigation Technology.
• Upon reviewing our latest valuation report, Shanghai Huace Navigation Technology's share price might be too pessimistic.

Seize The Opportunity

• Click this link to deep-dive into the 405 companies within our Fast Growing Chinese Companies With High Insider Ownership screener.
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Looking For Alternative Opportunities?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
• Find companies with promising cash flow potential yet trading below their fair value.

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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