Stock Analysis
- China
- /
- Electrical
- /
- SZSE:300827
Three High Growth Chinese Stocks With Significant Insider Ownership
Reviewed by Simply Wall St
As Chinese stocks face challenges due to underwhelming corporate earnings and a subdued economic outlook, investors are increasingly focusing on companies with strong growth potential and significant insider ownership. In this environment, stocks that demonstrate robust growth metrics and substantial insider commitment can offer a compelling investment proposition.
Top 10 Growth Companies With High Insider Ownership In China
| Name | Insider Ownership | Earnings Growth |
| Suzhou TFC Optical Communication (SZSE:300394) | 12.2% | 32% |
| 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% |
| Arctech Solar Holding (SHSE:688408) | 38.6% | 30.5% |
| 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% | 29.9% |
| BIWIN Storage Technology (SHSE:688525) | 18.8% | 116.8% |
Let's review some notable picks from our screened stocks.
Raytron TechnologyLtd (SHSE:688002)
Simply Wall St Growth Rating: ★★★★★☆
Overview: Raytron Technology Co., Ltd. engages in the research, development, design, manufacturing, and sales of uncooled infrared imaging and MEMS sensor technology in China with a market cap of CN¥11.16 billion.
Operations: Raytron Technology Ltd. generates revenue through the development, design, manufacturing, and sales of uncooled infrared imaging and MEMS sensor technology within China.
Insider Ownership: 26.7%
Earnings Growth Forecast: 34.8% p.a.
Raytron Technology Ltd. is forecast to grow earnings by 34.78% annually, with revenue expected to increase by 25.5% per year, outpacing the Chinese market average. Despite a recent dip in net income from CNY 257.59 million to CNY 224.34 million for the half-year ending June 30, 2024, the company's price-to-earnings ratio of 24.1x remains below the CN market average of 27.1x, indicating potential value for growth-focused investors with an interest in high insider ownership firms.
- Click here to discover the nuances of Raytron TechnologyLtd with our detailed analytical future growth report.
- The analysis detailed in our Raytron TechnologyLtd valuation report hints at an inflated share price compared to its estimated value.
Shenzhen Senior Technology Material (SZSE:300568)
Simply Wall St Growth Rating: ★★★★★☆
Overview: Shenzhen Senior Technology Material Co., Ltd. (SZSE:300568) specializes in the production of advanced materials and has a market cap of CN¥10.43 billion.
Operations: Shenzhen Senior Technology Material Co., Ltd. (SZSE:300568) specializes in the production of advanced materials and has a market cap of CN¥10.43 billion. The company's revenue segments include null.
Insider Ownership: 12.8%
Earnings Growth Forecast: 39% p.a.
Shenzhen Senior Technology Material reported half-year sales of CNY 1.63 billion, up from CNY 1.35 billion a year ago, though net income fell to CNY 242.16 million from CNY 379.04 million. Despite lower profit margins and recent shareholder dilution, the company is forecasted to grow earnings by nearly 39% annually and revenue by 30%, outpacing the Chinese market averages, making it an intriguing option for growth-focused investors interested in high insider ownership firms.
- Get an in-depth perspective on Shenzhen Senior Technology Material's performance by reading our analyst estimates report here.
- Insights from our recent valuation report point to the potential overvaluation of Shenzhen Senior Technology Material shares in the market.
Sineng ElectricLtd (SZSE:300827)
Simply Wall St Growth Rating: ★★★★★★
Overview: Sineng Electric Co., Ltd. engages in the research, development, manufacture, maintenance, and trading of power electronic products both in China and internationally, with a market cap of CN¥12.53 billion.
Operations: Revenue Segments (in millions of CN¥): Sineng Electric Co., Ltd. generates revenue through the research and development, manufacturing, maintenance, and trading of power electronic products in China and internationally.
Insider Ownership: 36.5%
Earnings Growth Forecast: 41.7% p.a.
Sineng Electric Ltd. is forecasted to achieve significant revenue growth of 32.6% per year and earnings growth of 41.72% annually, both surpassing the Chinese market averages. Despite recent share price volatility, the company’s high insider ownership aligns management interests with shareholders. Additionally, Sineng announced a share repurchase program worth up to CNY 36 million to fund equity incentives, indicating confidence in its future performance and commitment to shareholder value enhancement.
- Click here and access our complete growth analysis report to understand the dynamics of Sineng ElectricLtd.
- Our expertly prepared valuation report Sineng ElectricLtd implies its share price may be too high.
Taking Advantage
- Embark on your investment journey to our 381 Fast Growing Chinese Companies With High Insider Ownership selection here.
- Are these companies part of your investment strategy? Use Simply Wall St to consolidate your holdings into a portfolio and gain insights with our comprehensive analysis tools.
- Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets.
Ready For A Different Approach?
- 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.
New: Manage All Your Stock Portfolios in One Place
We've created the ultimate portfolio companion for stock investors, and it's free.
• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
About SZSE:300827
Sineng ElectricLtd
Engages in the research and development, manufacture, maintenance, and trading of power electronic products in the People's Republic of China and internationally.
