Stock Analysis

3 Growth Companies With High Insider Ownership To Consider

SZSE:300496
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As global markets navigate a choppy start to the year, marked by inflation concerns and political uncertainties, investors are closely watching growth stocks, which have recently underperformed compared to value counterparts. In such an environment, companies with high insider ownership can be appealing as they often indicate strong management confidence and alignment with shareholder interests.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
SKS Technologies Group (ASX:SKS)29.7%24.8%
Propel Holdings (TSX:PRL)36.8%38.9%
CD Projekt (WSE:CDR)29.7%32.2%
Pharma Mar (BME:PHM)11.9%56.2%
Plenti Group (ASX:PLT)12.8%120.1%
Fine M-TecLTD (KOSDAQ:A441270)17.2%131.1%
Elliptic Laboratories (OB:ELABS)26.8%111.4%
Credo Technology Group Holding (NasdaqGS:CRDO)13.2%66.3%
Fulin Precision (SZSE:300432)13.6%66.7%
HANA Micron (KOSDAQ:A067310)18.3%110.9%

Click here to see the full list of 1465 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.

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¥7.03 billion.

Operations: UTour Group Co., Ltd. generates revenue from its outbound tourism wholesale and retail operations, serving both domestic and international markets.

Insider Ownership: 24.1%

UTour Group has shown substantial growth, with recent earnings reports indicating a significant increase in revenue to CNY 4.72 billion and net income rising to CNY 123.5 million for the first nine months of 2024. The company is expected to maintain strong annual earnings growth of over 27%, outpacing the broader Chinese market. Additionally, UTour is trading significantly below its estimated fair value, suggesting potential upside as it continues its growth trajectory without notable insider selling activity recently.

SZSE:002707 Ownership Breakdown as at Jan 2025
SZSE:002707 Ownership Breakdown as at Jan 2025

Thunder Software TechnologyLtd (SZSE:300496)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Thunder Software Technology Co., Ltd. offers operating-system products across China, Europe, the United States, Japan, and other international markets with a market cap of CN¥24.71 billion.

Operations: Thunder Software Technology Co., Ltd. generates revenue from its operating-system products across various regions, including China, Europe, the United States, Japan, and other international markets.

Insider Ownership: 27.6%

Thunder Software Technology Ltd. is experiencing significant earnings growth, forecasted at 73.7% annually, surpassing the broader Chinese market's growth rate. Despite recent declines in revenue and net income, strategic partnerships like the one with HERE Technologies aim to enhance its intelligent navigation offerings and drive future expansion. The stock trades below estimated fair value, indicating potential investment appeal amid low profit margins and a forecasted low return on equity of 6.7%.

SZSE:300496 Earnings and Revenue Growth as at Jan 2025
SZSE:300496 Earnings and Revenue Growth as at Jan 2025

Hunan Sundy Science and Technology (SZSE:300515)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Hunan Sundy Science and Technology Co., Ltd provides coal analysis solutions both within the People’s Republic of China and internationally, with a market cap of CN¥2.47 billion.

Operations: The company's revenue from the instrumentation industry is CN¥483.69 million.

Insider Ownership: 23.3%

Hunan Sundy Science and Technology is poised for robust growth, with earnings forecasted to rise 34.19% annually, outpacing the broader Chinese market. Recent amendments to its articles of association and board changes signal strategic alignment for future expansion. The company's revenue is expected to grow at 28% per year, exceeding market averages. Despite an unstable dividend history and a low forecasted return on equity of 19.7%, its price-to-earnings ratio suggests relative value within the industry.

SZSE:300515 Ownership Breakdown as at Jan 2025
SZSE:300515 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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