Stock Analysis

3 Growth Stocks With Insider Ownership And Up To 127% Earnings Growth

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In a week marked by mixed performances across global markets, major U.S. indexes like the S&P 500 and Nasdaq Composite reached record highs, driven largely by growth stocks outpacing their value counterparts. Amid this backdrop of economic optimism and strategic interest rate discussions, identifying growth companies with high insider ownership can be particularly appealing to investors seeking alignment between management interests and shareholder value.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
SKS Technologies Group (ASX:SKS)32.4%24.8%
Propel Holdings (TSX:PRL)36.9%37.6%
On Holding (NYSE:ONON)19.1%29.4%
Pharma Mar (BME:PHM)11.8%56.2%
CD Projekt (WSE:CDR)29.7%27%
Plenti Group (ASX:PLT)12.8%120.1%
EHang Holdings (NasdaqGM:EH)32.8%81.5%
Credo Technology Group Holding (NasdaqGS:CRDO)13.6%65.9%
Elliptic Laboratories (OB:ELABS)26.8%111.4%
Findi (ASX:FND)34.8%112.9%

Click here to see the full list of 1510 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.

Optowide Technologies (SHSE:688195)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Optowide Technologies Co., Ltd. focuses on the research, development, production, and sale of precision optics and fiber components both in China and internationally, with a market cap of CN¥4.99 billion.

Operations: Optowide Technologies generates revenue from the research, development, production, and sale of precision optics and fiber components across domestic and international markets.

Insider Ownership: 36.6%

Earnings Growth Forecast: 35.6% p.a.

Optowide Technologies demonstrates strong growth potential with forecasted earnings growth of 35.6% annually, outpacing the CN market's 25.9%. Revenue is also expected to grow significantly at 31.1% per year. Despite high share price volatility, recent financials show robust sales and net income increases for the first nine months of 2024. The company has initiated a CNY 20 million share buyback program to support equity incentives, indicating confidence in its long-term prospects despite low return on equity forecasts.

SHSE:688195 Ownership Breakdown as at Dec 2024

UTour Group (SZSE:002707)

Simply Wall St Growth Rating: ★★★★★★

Overview: UTour Group Co., Ltd. operates in the outbound tourism wholesale and retail sector both within China and internationally, with a market cap of CN¥7.53 billion.

Operations: The company generates revenue from its outbound tourism wholesale and retail operations, serving both domestic and international markets.

Insider Ownership: 24.1%

Earnings Growth Forecast: 27.2% p.a.

UTour Group's growth outlook is promising, with earnings projected to rise 27.2% annually, surpassing the CN market average of 25.9%. Revenue is expected to grow at a robust 31.5% per year, well above the market's 13.7%. The company recently reported significant increases in sales and net income for the first nine months of 2024, indicating strong operational performance. Despite trading below estimated fair value, its high return on equity forecast enhances its appeal.

SZSE:002707 Ownership Breakdown as at Dec 2024

NSFOCUS Technologies Group (SZSE:300369)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: NSFOCUS Technologies Group Co., Ltd. offers Internet and application security services globally, with a market cap of CN¥7.10 billion.

Operations: The company's revenue from the Information Security Industry segment is CN¥1.75 billion.

Insider Ownership: 10.2%

Earnings Growth Forecast: 127.3% p.a.

NSFOCUS Technologies Group has demonstrated a reduction in net loss from CNY 524.28 million to CNY 326.02 million for the first nine months of 2024, reflecting operational improvements. Although recently dropped from the FTSE All-World Index, it is forecasted to achieve profitability within three years, with annual earnings growth projected at 127.33%. Revenue growth is expected at 18.1% annually, outpacing the broader CN market's average but below high-growth benchmarks.

SZSE:300369 Earnings and Revenue Growth as at Dec 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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