Stock Analysis

Top Chinese Growth Stocks With High Insider Ownership September 2024

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As Chinese equities face a retreat amid weak corporate earnings and economic data, investors are increasingly looking for growth opportunities within the market. One key indicator of potential success is high insider ownership, which often signals confidence from those closest to the company's operations.

Top 10 Growth Companies With High Insider Ownership In China

NameInsider OwnershipEarnings 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%
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%
UTour Group (SZSE:002707)23%28.7%
Sineng ElectricLtd (SZSE:300827)36.5%41.7%
BIWIN Storage Technology (SHSE:688525)18.8%116.8%
Offcn Education Technology (SZSE:002607)25.1%75.7%

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

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

Bio-Thera Solutions (SHSE:688177)

Simply Wall St Growth Rating: ★★★★★★

Overview: Bio-Thera Solutions, Ltd. is a biopharmaceutical company that researches and develops novel therapeutics for serious medical conditions such as cancer and autoimmune diseases, with a market cap of CN¥8.33 billion.

Operations: The company generates revenue primarily from its biopharmaceutical segment, amounting to CN¥792.41 million.

Insider Ownership: 18.2%

Revenue Growth Forecast: 26.8% p.a.

Bio-Thera Solutions, a growth company with high insider ownership in China, is forecast to grow earnings by 117.16% annually and revenue by 26.8% per year, outpacing the market. Despite a volatile share price and trading at 71.8% below its fair value estimate, Bio-Thera's recent EMA approval for BAT1706 and ongoing biosimilar developments signal strong potential. The company's net loss decreased to CNY 236.85 million from CNY 253.62 million year-over-year as of June 2024.

SHSE:688177 Ownership Breakdown as at Sep 2024

Yuanjie Semiconductor Technology (SHSE:688498)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Yuanjie Semiconductor Technology Co., Ltd. (ticker: SHSE:688498) is a company engaged in the semiconductor industry with a market cap of CN¥7.07 billion.

Operations: Yuanjie Semiconductor Technology Co., Ltd. generates revenue from various segments within the semiconductor industry.

Insider Ownership: 27.7%

Revenue Growth Forecast: 40.3% p.a.

Yuanjie Semiconductor Technology is forecast to grow earnings by 71.78% annually and revenue by 40.3% per year, surpassing market averages. Despite a volatile share price and a decline in net profit margins from 31.9% to 5.3%, the company reported sales of CNY 120.16 million for the first half of 2024, doubling from last year’s CNY 61.32 million, though net income fell to CNY 10.75 million from CNY 19.39 million year-over-year due to large one-off items impacting financial results.

SHSE:688498 Earnings and Revenue Growth as at Sep 2024

Shenzhen Sunline Tech (SZSE:300348)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Shenzhen Sunline Tech Co., Ltd. provides banking software and technology services to financial institutions globally, with a market cap of CN¥6.25 billion.

Operations: Shenzhen Sunline Tech generates revenue from providing software and technology services to banking and finance customers worldwide.

Insider Ownership: 22.7%

Revenue Growth Forecast: 16.6% p.a.

Shenzhen Sunline Tech reported half-year sales of CNY 704.24 million, down from CNY 749.08 million a year ago, but turned a net profit of CNY 1.84 million compared to a net loss previously. The company completed a private placement raising CNY 417.17 million, with significant institutional participation and incurred issuance expenses of nearly CNY 7.80 million. Despite shareholder dilution and high share price volatility, earnings are forecast to grow significantly at 37% annually, outpacing market averages.

SZSE:300348 Earnings and Revenue Growth as at Sep 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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