Stock Analysis

3 Growth Companies With High Insider Ownership Expecting 117% Earnings Growth

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As global markets show resilience with U.S. indexes approaching record highs and a strong labor market, investor sentiment remains cautiously optimistic despite geopolitical uncertainties and economic outlooks in Europe and China. In this environment, growth companies with high insider ownership can be particularly appealing, as they often signal confidence from those closest to the business while potentially offering robust earnings growth opportunities.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Seojin SystemLtd (KOSDAQ:A178320)31.1%43.2%
Kirloskar Pneumatic (BSE:505283)30.3%26.3%
Archean Chemical Industries (NSEI:ACI)22.9%41.3%
SKS Technologies Group (ASX:SKS)32.4%24.8%
Laopu Gold (SEHK:6181)36.4%34.2%
Medley (TSE:4480)34%31.7%
Findi (ASX:FND)34.8%71.5%
Elliptic Laboratories (OB:ELABS)26.8%103.6%
Fulin Precision (SZSE:300432)13.6%66.7%
Brightstar Resources (ASX:BTR)16.2%84.6%

Click here to see the full list of 1514 stocks from our Fast Growing Companies With High Insider Ownership screener.

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

Vuno (KOSDAQ:A338220)

Simply Wall St Growth Rating: ★★★★★★

Overview: Vuno Inc. is a medical artificial intelligence solution development company with a market cap of ₩391.65 billion.

Operations: Revenue Segments (in millions of ₩):

Insider Ownership: 15.7%

Earnings Growth Forecast: 117.6% p.a.

Vuno is forecast to experience robust revenue growth at 44.9% annually, significantly outpacing the Korean market average of 9.2%. Earnings are projected to grow by a substantial 117.58% per year, with profitability expected within three years and a high return on equity anticipated at 140.1%. However, shareholders have faced dilution over the past year, and the company has less than one year of cash runway available. The stock trades at a discount of 17.9% below its estimated fair value.

KOSDAQ:A338220 Ownership Breakdown as at Nov 2024

Beijing Hotgen Biotech (SHSE:688068)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Beijing Hotgen Biotech Co., Ltd. focuses on the research, development, manufacture, and sale of in-vitro diagnostic products for medical and public safety inspection within the biomedicine sector, with a market cap of CN¥4.89 billion.

Operations: The company's revenue primarily comes from its Medical Labs & Research segment, generating CN¥520.50 million.

Insider Ownership: 33%

Earnings Growth Forecast: 116.0% p.a.

Beijing Hotgen Biotech is projected to achieve revenue growth of 18.7% annually, surpassing the Chinese market average. Despite recent financial challenges, including a net loss of CNY 40.64 million for the first nine months of 2024, earnings are expected to grow by 115.97% per year with profitability anticipated in three years. The company has initiated a share buyback program worth up to CNY 100 million, aimed at enhancing long-term development and shareholder value protection.

SHSE:688068 Ownership Breakdown as at Nov 2024

Wanda Film Holding (SZSE:002739)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Wanda Film Holding Co., Ltd. invests in, constructs, and operates movie theaters in China, Australia, and New Zealand with a market cap of CN¥26.72 billion.

Operations: Revenue segments for Wanda Film Holding Co., Ltd. include CN¥10.45 billion from box office sales, CN¥3.27 billion from film distribution and production, and CN¥1.98 billion from merchandise sales and other related services.

Insider Ownership: 10.4%

Earnings Growth Forecast: 94.1% p.a.

Wanda Film Holding's recent financial performance shows a decline, with nine-month revenue at CNY 9.85 billion, down from CNY 11.35 billion the previous year, and net income dropping significantly to CNY 168.69 million. Despite these challenges, the company is forecasted for revenue growth of 16.7% annually and profitability within three years, surpassing market averages. Trading at a good value compared to peers and industry benchmarks enhances its investment appeal amidst high insider ownership stability.

SZSE:002739 Earnings and Revenue Growth as at Nov 2024

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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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