Stock Analysis

3 Growth Companies With High Insider Ownership And Earnings Growth Up To 83%

SZSE:300972
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As global markets continue to reach new highs, with major indices like the Dow Jones Industrial Average and S&P 500 Index setting record intraday levels, investor sentiment is buoyed by domestic policy developments and geopolitical events. Amid this backdrop of market optimism, identifying growth companies with high insider ownership can offer potential opportunities for investors seeking alignment of interests between company insiders and shareholders.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Seojin SystemLtd (KOSDAQ:A178320)30.9%39.9%
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%
Laopu Gold (SEHK:6181)36.4%34.2%
Medley (TSE:4480)34%31.7%
Plenti Group (ASX:PLT)12.8%120.1%
HANA Micron (KOSDAQ:A067310)18.3%110.9%
Brightstar Resources (ASX:BTR)16.2%84.6%
Findi (ASX:FND)34.8%112.9%

Click here to see the full list of 1511 stocks from our Fast Growing Companies With High Insider Ownership screener.

Below we spotlight a couple of our favorites from our exclusive screener.

Temenos (SWX:TEMN)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Temenos AG develops, markets, and sells integrated banking software systems to banking and other financial institutions worldwide with a market cap of CHF4.20 billion.

Operations: Revenue segments for the company include software licensing, which generated $366.80 million; software-as-a-service (SaaS), contributing $133.50 million; maintenance, accounting for $458.60 million; and services, bringing in $148.20 million.

Insider Ownership: 21.8%

Earnings Growth Forecast: 11.4% p.a.

Temenos, with its recent focus on AI innovation through collaboration with NVIDIA, is poised to enhance banking services by providing real-time insights and improved customer experiences. Its Q3 2024 earnings showed revenue growth to US$246.92 million and net income of US$30.85 million, indicating a positive financial trajectory despite high debt levels. Forecasts suggest moderate revenue growth at 6.9% annually, outpacing the Swiss market but not significantly high overall.

SWX:TEMN Earnings and Revenue Growth as at Dec 2024
SWX:TEMN Earnings and Revenue Growth as at Dec 2024

Eoptolink Technology (SZSE:300502)

Simply Wall St Growth Rating: ★★★★★★

Overview: Eoptolink Technology Inc., Ltd. is involved in the research, development, manufacture, and sale of optical transceivers both in China and internationally, with a market cap of CN¥83.16 billion.

Operations: The company's revenue primarily comes from its Optical Communication Equipment segment, which generated CN¥6.14 billion.

Insider Ownership: 24.9%

Earnings Growth Forecast: 36.7% p.a.

Eoptolink Technology has demonstrated substantial growth, with earnings increasing by 233.8% over the past year and revenue reaching CNY 5.13 billion for the first nine months of 2024. The company's earnings per share rose significantly, indicating high-quality earnings. Forecasts suggest Eoptolink's revenue will grow at an impressive rate of 41.7% annually, outpacing both market averages and industry peers, despite recent share price volatility and no significant insider trading activity reported in the last three months.

SZSE:300502 Earnings and Revenue Growth as at Dec 2024
SZSE:300502 Earnings and Revenue Growth as at Dec 2024

Fujian Wanchen Biotechnology Group (SZSE:300972)

Simply Wall St Growth Rating: ★★★★★★

Overview: Fujian Wanchen Biotechnology Co., Ltd focuses on the research, development, cultivation, production, and sale of edible fungi in China with a market cap of CN¥13.95 billion.

Operations: Revenue Segments (in millions of CN¥): Fujian Wanchen Biotechnology Group generates its revenue through the research, development, cultivation, production, and sale of edible fungi in China.

Insider Ownership: 14.7%

Earnings Growth Forecast: 83.3% p.a.

Fujian Wanchen Biotechnology Group has shown impressive growth, with revenue reaching CNY 20.61 billion for the first nine months of 2024, up from CNY 4.90 billion a year ago. The company became profitable this year, reporting a net income of CNY 84.07 million compared to a previous loss. Forecasts indicate strong annual earnings growth of over 83%, significantly outpacing market averages. Despite past shareholder dilution and share price volatility, insider ownership remains substantial without recent significant trading activity.

SZSE:300972 Ownership Breakdown as at Dec 2024
SZSE:300972 Ownership Breakdown as at Dec 2024

Key Takeaways

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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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