Stock Analysis

3 Growth Companies With Up To 32% Insider Ownership

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As global markets navigate a mixed start to the year, with the S&P 500 and Nasdaq Composite closing out another strong year despite recent economic concerns, investors are increasingly focusing on growth companies with substantial insider ownership. In this environment, stocks that combine robust growth potential with high insider stakes can be particularly appealing, as they often indicate confidence from those who know the company best.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
SKS Technologies Group (ASX:SKS)29.7%24.8%
Propel Holdings (TSX:PRL)23.8%37.6%
CD Projekt (WSE:CDR)29.7%27%
Medley (TSE:4480)34%27.2%
Pharma Mar (BME:PHM)11.9%56.2%
Plenti Group (ASX:PLT)12.8%120.1%
Credo Technology Group Holding (NasdaqGS:CRDO)13.2%66.3%
Fulin Precision (SZSE:300432)13.6%66.7%
Elliptic Laboratories (OB:ELABS)26.8%111.4%
Findi (ASX:FND)34.8%112.9%

Click here to see the full list of 1483 stocks from our Fast Growing Companies With High Insider Ownership screener.

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

ESR Group (SEHK:1821)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: ESR Group Limited operates in logistics real estate development, leasing, and management across various regions including Hong Kong, China, Japan, South Korea, Australia, New Zealand, Southeast Asia, India, Europe and internationally with a market cap of HK$50.78 billion.

Operations: The company's revenue segments include Fund Management at $627.98 million and New Economy Development at $113.33 million.

Insider Ownership: 13%

ESR Group is trading at a significant discount to its estimated fair value, with revenue expected to grow 15.8% annually, outpacing the Hong Kong market. However, its return on equity is forecasted to be low in three years. Recently, a consortium agreed to acquire the remaining stake in ESR Group for HK$13 per share or an equivalent share exchange option. The transaction awaits shareholder and court approvals with financing secured through a mix of subscriptions and loans totaling HK$28.4 billion (US$3.6 billion).

SEHK:1821 Earnings and Revenue Growth as at Jan 2025

Guangdong Skychem Technology (SHSE:688603)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Guangdong Skychem Technology Co., Ltd. focuses on the research, development, and manufacturing of electronic materials for the printed circuit board, semiconductor and packaging, and touch screen industries, with a market cap of CN¥6.09 billion.

Operations: The company's revenue segment includes Specialty Chemicals, generating CN¥364.94 million.

Insider Ownership: 32.2%

Guangdong Skychem Technology demonstrates potential for growth, with earnings and revenue forecasted to grow significantly at 39.78% and 31.2% annually, respectively, surpassing the Chinese market averages. Despite a highly volatile share price recently and low future return on equity projections of 12%, its recent stock split may enhance liquidity. The company completed a buyback of shares worth CNY 37.77 million, indicating possible confidence in its valuation amidst no substantial insider trading activity reported recently.

SHSE:688603 Earnings and Revenue Growth as at Jan 2025

iSoftStone Information Technology (Group) (SZSE:301236)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: iSoftStone Information Technology (Group) Co., Ltd. operates as a provider of IT services and solutions, with a market cap of CN¥49.62 billion.

Operations: The company's revenue is derived from its IT services and solutions offerings.

Insider Ownership: 23.8%

iSoftStone Information Technology is experiencing significant earnings growth, forecasted at 39.3% annually, outpacing the Chinese market's average. Despite a volatile share price and declining profit margins from 3.7% to 1%, it trades at a good relative value compared to peers. Recent earnings reveal increased revenue of CNY 22.21 billion but decreased net income of CNY 75.94 million year-over-year, with no substantial insider trading activity reported recently.

SZSE:301236 Ownership Breakdown as at Jan 2025

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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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