Stock Analysis

Top Chinese Growth Stocks With High Insider Ownership For September 2024

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China's stock market has recently faced challenges, with weak inflation data raising concerns about economic growth. Despite these hurdles, certain growth companies with high insider ownership continue to attract attention due to their potential for long-term success. Investors often look for stocks where insiders have significant ownership because it can indicate confidence in the company's future prospects and alignment with shareholder interests.

Top 10 Growth Companies With High Insider Ownership In China

NameInsider OwnershipEarnings Growth
ShenZhen Woer Heat-Shrinkable MaterialLtd (SZSE:002130)18%28.7%
Jiayou International LogisticsLtd (SHSE:603871)22.6%24.6%
Western Regions Tourism DevelopmentLtd (SZSE:300859)13.9%39.2%
Arctech Solar Holding (SHSE:688408)38.6%29.9%
Quick Intelligent EquipmentLtd (SHSE:603203)34.4%33.1%
UTour Group (SZSE:002707)23%25.2%
Suzhou Sunmun Technology (SZSE:300522)36.5%67.5%
Sineng ElectricLtd (SZSE:300827)36.5%41.7%
BIWIN Storage Technology (SHSE:688525)18.8%116.8%
Offcn Education Technology (SZSE:002607)25.1%75.7%

Click here to see the full list of 380 stocks from our Fast Growing Chinese Companies With High Insider Ownership screener.

Here we highlight a subset of our preferred stocks from the screener.

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¥4.34 billion.

Operations: The company's revenue segments include power distribution equipment and automation equipment for power transmission and distribution networks.

Insider Ownership: 38%

Earnings Growth Forecast: 43.8% p.a.

Beijing SOJO Electric has seen robust growth, with recent earnings showing significant increases in revenue and net income. The company's forecasted annual profit growth of 43.8% and revenue growth of 24.9% outpace the Chinese market averages. Recent insider activity includes a notable acquisition by Junhong Qianjiang 77th Private Equity Securities Investment Fund, acquiring a 5.01% stake for CNY 220 million, highlighting strong insider confidence in future performance.

SZSE:300444 Earnings and Revenue Growth as at Sep 2024

Broadex Technologies (SZSE:300548)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Broadex Technologies Co., Ltd. researches, develops, produces, and sells integrated optoelectronic devices for optical communications in China and internationally, with a market cap of CN¥4.87 billion.

Operations: Revenue Segments (in millions of CN¥): Broadex Technologies generates revenue through the research, development, production, and sale of integrated optoelectronic devices for optical communications in both domestic and international markets.

Insider Ownership: 16.9%

Earnings Growth Forecast: 65.8% p.a.

Broadex Technologies has experienced a challenging half-year, with sales dropping to CNY 750.81 million from CNY 944.45 million and net income falling to CNY 13.78 million from CNY 155.54 million year-on-year. Despite this, the company is forecasted to achieve substantial revenue growth of 25.2% annually and become profitable over the next three years, outpacing market averages in China. Insider ownership remains high, indicating strong internal confidence in its long-term potential despite short-term setbacks.

SZSE:300548 Ownership Breakdown as at Sep 2024

Advanced Fiber Resources (Zhuhai) (SZSE:300620)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Advanced Fiber Resources (Zhuhai), Ltd. designs and manufactures passive optical components in China and internationally, with a market cap of CN¥7.98 billion.

Operations: Advanced Fiber Resources (Zhuhai) generates revenue of CN¥792.58 million from its Optoelectronic Devices and Other Electronic Devices segment.

Insider Ownership: 11.5%

Earnings Growth Forecast: 42.5% p.a.

Advanced Fiber Resources (Zhuhai) reported half-year sales of CNY 413.95 million, up from CNY 329.26 million a year ago, with revenue rising to CNY 421.42 million from CNY 338.74 million. Despite a slight dip in net income to CNY 30.34 million, the company is forecasted to grow earnings by 42.5% annually and revenue by 25.8% per year, significantly outpacing market averages in China. High insider ownership underscores confidence in its growth trajectory despite lower profit margins this year.

SZSE:300620 Ownership Breakdown as at Sep 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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