Stock Analysis

3 Growth Companies Insiders Are Betting On

SHSE:688498
Source: Shutterstock

As global markets experience a rebound, driven by cooling inflation and robust bank earnings in the U.S., investors are keeping a keen eye on growth companies that offer potential amidst fluctuating economic conditions. In this environment, stocks with high insider ownership often attract attention, as they suggest confidence from those who know the company best and may align well with investor interests looking for stability and growth potential.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Duc Giang Chemicals Group (HOSE:DGC)31.4%23.8%
Seojin SystemLtd (KOSDAQ:A178320)32.1%39.9%
Archean Chemical Industries (NSEI:ACI)22.9%41.2%
SKS Technologies Group (ASX:SKS)29.7%24.8%
Laopu Gold (SEHK:6181)36.4%36.1%
Medley (TSE:4480)34.1%27.2%
Brightstar Resources (ASX:BTR)16.2%84.1%
Fine M-TecLTD (KOSDAQ:A441270)17.2%135%
HANA Micron (KOSDAQ:A067310)18.3%119.4%
People & Technology (KOSDAQ:A137400)16.4%22.5%

Click here to see the full list of 1462 stocks from our Fast Growing Companies With High Insider Ownership screener.

We'll examine a selection from our screener results.

Yuanjie Semiconductor Technology (SHSE:688498)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Yuanjie Semiconductor Technology Co., Ltd. (ticker: SHSE:688498) operates in the semiconductor industry with a market capitalization of CN¥12.75 billion.

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Insider Ownership: 27.8%

Yuanjie Semiconductor Technology is poised for significant growth, with revenue expected to increase by 45.8% annually, outpacing the Chinese market average. Despite high volatility and a current net loss of CNY 0.55 million for the first nine months of 2024, its earnings are projected to grow by 100.1% per year and become profitable within three years. Recent buybacks completed at CNY 55.41 million reflect management's confidence in long-term prospects despite low forecasted ROE at 8.3%.

SHSE:688498 Ownership Breakdown as at Jan 2025
SHSE:688498 Ownership Breakdown as at Jan 2025

Guangzhou Sie Consulting (SZSE:300687)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Guangzhou Sie Consulting Co., Ltd. is a solution provider specializing in industrial Internet, intelligent manufacturing, core ERP, and business operation centers in China with a market cap of CN¥7.11 billion.

Operations: The company's revenue from Software Services amounts to CN¥2.28 billion.

Insider Ownership: 29.1%

Guangzhou Sie Consulting's earnings are forecast to grow significantly at 27.55% annually, surpassing the Chinese market average, although revenue growth is slower at 13.9%. The company's recent buyback of shares worth CNY 39.97 million indicates management's confidence despite a decline in net income to CNY 94.66 million for the first nine months of 2024. It trades at a favorable price-to-earnings ratio of 35.7x compared to industry peers, though its future return on equity remains low at an estimated 11.8%.

SZSE:300687 Ownership Breakdown as at Jan 2025
SZSE:300687 Ownership Breakdown as at Jan 2025

DeNA (TSE:2432)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: DeNA Co., Ltd. develops and operates mobile and online services globally, with a market capitalization of approximately ¥296.76 billion.

Operations: The company's revenue is primarily derived from its Game Business at ¥50.20 billion, Sports Businesses at ¥27.56 billion, Livestreaming Business at ¥41.37 billion, and Healthcare & Medical Business at ¥9.77 billion.

Insider Ownership: 21.1%

DeNA's earnings are projected to grow substantially at 59% per year, with profitability expected within the next three years, surpassing average market growth. However, revenue growth is modest at 5% annually. Despite this slower revenue increase, it outpaces the Japanese market's average. The company's share price has been highly volatile recently. No significant insider trading activity has been reported in the past three months. Return on equity is forecasted to be low at 7.5%.

TSE:2432 Ownership Breakdown as at Jan 2025
TSE:2432 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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