Stock Analysis

Spotlight On DBAPPSecurity And Two Other High Growth Insider Picks

SZSE:300444
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As global markets continue to reach record highs, driven by a mix of domestic policy decisions and geopolitical developments, investors are increasingly looking for opportunities in high-growth companies with significant insider ownership. In this context, understanding the potential of stocks like DBAPPSecurity and others becomes crucial as insider ownership often signals confidence in a company's future prospects amidst fluctuating market conditions.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Seojin SystemLtd (KOSDAQ:A178320)30.9%39.9%
People & Technology (KOSDAQ:A137400)16.4%37.3%
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%
Medley (TSE:4480)34%31.7%
Fine M-TecLTD (KOSDAQ:A441270)17.2%131.1%
Fulin Precision (SZSE:300432)13.6%66.7%
HANA Micron (KOSDAQ:A067310)18.3%110.9%
Findi (ASX:FND)34.8%112.9%

Click here to see the full list of 1512 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.

DBAPPSecurity (SHSE:688023)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: DBAPPSecurity Co., Ltd. is involved in the research, development, manufacture, and sale of cybersecurity products in China, with a market cap of CN¥5.40 billion.

Operations: DBAPPSecurity Co., Ltd. generates revenue through its focus on cybersecurity product research, development, manufacturing, and sales within the Chinese market.

Insider Ownership: 16.9%

Revenue Growth Forecast: 18.2% p.a.

DBAPPSecurity is trading at a significant discount to its estimated fair value, suggesting potential for growth. Despite recent revenue decline to CNY 1.14 billion from CNY 1.21 billion, the company reduced net loss from CNY 535.53 million to CNY 336 million over nine months ending September 2024. Earnings are forecasted to grow substantially at nearly 70% annually, with profitability expected within three years, surpassing average market growth expectations despite low future return on equity projections.

SHSE:688023 Earnings and Revenue Growth as at Dec 2024
SHSE:688023 Earnings and Revenue Growth as at Dec 2024

Shenzhen Genvict Technologies (SZSE:002869)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Shenzhen Genvict Technologies Co., Ltd. and its subsidiaries focus on the research, development, and industrialization of smart transportation technology in China, with a market cap of approximately CN¥5.38 billion.

Operations: The company generates revenue from the Intelligent Traffic Industry segment, amounting to CN¥514.77 million.

Insider Ownership: 20.6%

Revenue Growth Forecast: 34.9% p.a.

Shenzhen Genvict Technologies reported modest revenue growth to CNY 352.44 million for the nine months ending September 2024, with net income increasing to CNY 31.09 million. Earnings per share improved from the previous year, reflecting positive financial performance. The company's earnings are forecasted to grow significantly at over 40% annually, outpacing the Chinese market average of 26%. Despite this growth potential, future return on equity is expected to remain low at around 5.7%.

SZSE:002869 Ownership Breakdown as at Dec 2024
SZSE:002869 Ownership Breakdown as at Dec 2024

Beijing SOJO Electric (SZSE:300444)

Simply Wall St Growth Rating: ★★★★★★

Overview: Beijing SOJO Electric Co., Ltd. specializes in the research, production, export, and sale of power distribution and automation equipment for power transmission and distribution networks, with a market cap of CN¥6.42 billion.

Operations: Beijing SOJO Electric Co., Ltd. generates revenue through its involvement in the research, production, export, and sale of power distribution and automation equipment for transmission and distribution networks.

Insider Ownership: 38%

Revenue Growth Forecast: 26% p.a.

Beijing SOJO Electric's recent earnings report shows a steady increase in net income to CNY 116.25 million for the nine months ending September 2024, with revenue reaching CNY 2.56 billion. The company's earnings and revenue are forecasted to grow significantly, outpacing the Chinese market averages with expected annual growth rates of over 46% and 26%, respectively. Despite these promising forecasts, the company's debt coverage by operating cash flow remains a concern.

SZSE:300444 Earnings and Revenue Growth as at Dec 2024
SZSE:300444 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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