Top Chinese Growth Companies With High Insider Ownership For September 2024

In September 2024, Chinese equities have faced a challenging environment with mixed economic data and weak corporate earnings contributing to a decline in major indices. Despite this backdrop, growth companies with high insider ownership can offer unique opportunities for investors due to the alignment of interests between management and shareholders. High insider ownership often signals confidence in the company's future prospects and can be particularly appealing in uncertain market conditions.

Top 10 Growth Companies With High Insider Ownership In China

Name	Insider Ownership	Earnings Growth
ShenZhen Woer Heat-Shrinkable MaterialLtd (SZSE:002130)	18%	28.7%
Jiayou International LogisticsLtd (SHSE:603871)	22.9%	24.6%
Western Regions Tourism DevelopmentLtd (SZSE:300859)	13.9%	39.2%
Shandong Longhua New Material (SZSE:301149)	34.4%	42.5%
Arctech Solar Holding (SHSE:688408)	38.6%	29.9%
Quick Intelligent EquipmentLtd (SHSE:603203)	34.4%	33.1%
Suzhou Sunmun Technology (SZSE:300522)	36.5%	67.5%
Sineng ElectricLtd (SZSE:300827)	36.5%	41.7%
UTour Group (SZSE:002707)	23%	28.7%
BIWIN Storage Technology (SHSE:688525)	18.8%	116.8%

Click here to see the full list of 381 stocks from our Fast Growing Chinese Companies With High Insider Ownership screener.

Here we highlight a subset of our preferred stocks from the screener.

Asian Star Anchor Chain Jiangsu (SHSE:601890)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Asian Star Anchor Chain Co., Ltd. Jiangsu, along with its subsidiaries, manufactures and sells anchor chains, marine mooring chains, and related accessories globally, with a market cap of CN¥6.87 billion.

Operations: The company's revenue segments include the production and distribution of anchor chains, marine mooring chains, and related accessories.

Insider Ownership: 37.9%

Earnings Growth Forecast: 22.5% p.a.

Asian Star Anchor Chain Jiangsu demonstrates potential as a growth company with high insider ownership in China. Despite recent earnings showing a decline in sales and revenue, net income increased to CNY 138.73 million from CNY 109.65 million, reflecting profitability improvements. The company's earnings are forecasted to grow at 22.5% per year, slightly below the market rate but still robust, while revenue is expected to grow faster than the market at 22.9% annually. Trading significantly below fair value presents an attractive valuation opportunity despite its low future return on equity projections and unstable dividend track record.

• Click to explore a detailed breakdown of our findings in Asian Star Anchor Chain Jiangsu's earnings growth report.
• In light of our recent valuation report, it seems possible that Asian Star Anchor Chain Jiangsu is trading behind its estimated value.

Shanghai Luoman Technologies (SHSE:605289)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Shanghai Luoman Lighting Technologies Inc. (ticker: SHSE:605289) specializes in the development and manufacturing of advanced lighting solutions, with a market cap of CN¥2.36 billion.

Operations: Shanghai Luoman Technologies generates revenue primarily from the development and manufacturing of advanced lighting solutions.

Insider Ownership: 29.5%

Earnings Growth Forecast: 39.9% p.a.

Shanghai Luoman Technologies shows strong growth potential with high insider ownership in China. Earnings grew by a very large amount over the past year and are forecasted to grow at 39.9% annually, significantly outpacing the market average of 23%. Revenue is also expected to rise faster than the market at 27% per year. However, its return on equity is projected to be relatively low at 11.6%, and its dividend yield of 1.16% isn't well-covered by free cash flows.

• Delve into the full analysis future growth report here for a deeper understanding of Shanghai Luoman Technologies.
• Our valuation report unveils the possibility Shanghai Luoman Technologies' shares may be trading at a premium.

Shanghai Sanyou Medical (SHSE:688085)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Shanghai Sanyou Medical Co., Ltd. researches, develops, manufactures, and sells orthopedics implants in China with a market cap of CN¥4.52 billion.

Operations: Shanghai Sanyou Medical's revenue segments include the research, development, manufacturing, and sale of orthopedics implants in China.

Insider Ownership: 31.6%

Earnings Growth Forecast: 44.8% p.a.

Shanghai Sanyou Medical demonstrates high insider ownership and significant growth potential, with earnings forecasted to grow at 44.77% annually, outpacing the market average of 23%. Revenue is expected to increase by 29.3% per year, faster than the Chinese market's 13.2%. However, recent earnings reports show a decline in sales and net income for the half-year ended June 30, 2024. Return on equity is projected to be low at 7.2% in three years.

• Click here and access our complete growth analysis report to understand the dynamics of Shanghai Sanyou Medical.
• Our comprehensive valuation report raises the possibility that Shanghai Sanyou Medical is priced higher than what may be justified by its financials.

Taking Advantage

• Discover the full array of 381 Fast Growing Chinese Companies With High Insider Ownership right here.
• Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments.
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Ready To Venture Into Other Investment Styles?

• 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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