Stock Analysis

Three UK Growth Stocks With Insider Ownership Up To 26%

AIM:LGRS
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Over the past year, the United Kingdom's stock market has experienced a modest rise of 4.5%, despite a recent weekly drop of 1.2%. In this context, growth companies with high insider ownership can be particularly appealing, as they often reflect a strong alignment between company management and shareholder interests.

Top 10 Growth Companies With High Insider Ownership In The United Kingdom

NameInsider OwnershipEarnings Growth
Plant Health Care (AIM:PHC)26.4%121.3%
Petrofac (LSE:PFC)16.6%124.5%
Getech Group (AIM:GTC)17.3%86.1%
Gulf Keystone Petroleum (LSE:GKP)10.7%47.6%
Integrated Diagnostics Holdings (LSE:IDHC)26.7%25.5%
Velocity Composites (AIM:VEL)28.5%143.4%
TEAM (AIM:TEAM)25.8%58.6%
B90 Holdings (AIM:B90)24.4%142.7%
Afentra (AIM:AET)38.3%64.4%
Mothercare (AIM:MTC)15.1%41.2%

Click here to see the full list of 64 stocks from our Fast Growing UK Companies With High Insider Ownership screener.

We'll examine a selection from our screener results.

Loungers (AIM:LGRS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Loungers plc operates cafes, bars, and restaurants under the Lounge and Cosy Club brands in England and Wales, with a market capitalization of approximately £293.83 million.

Operations: The company generates its revenue primarily from operating café bars and restaurants, totaling £310.80 million.

Insider Ownership: 13.9%

Loungers plc, a UK-based company, is trading significantly below its estimated fair value and analysts expect a notable price increase. Despite lower profit margins compared to last year, its earnings are forecasted to grow robustly over the next three years. Recent leadership changes aim to bolster this growth trajectory, as evidenced by record revenues of £353.5 million reported for FY 2024, marking a substantial increase from the previous year. These factors position Loungers interestingly for investors focused on insider-owned growth companies.

AIM:LGRS Earnings and Revenue Growth as at Jun 2024
AIM:LGRS Earnings and Revenue Growth as at Jun 2024

RWS Holdings (AIM:RWS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: RWS Holdings plc specializes in technology-enabled language, content, and intellectual property services with a market capitalization of approximately £0.72 billion.

Operations: The company operates primarily in the sectors of technology-enabled language, content management, and intellectual property services.

Insider Ownership: 24.6%

RWS Holdings, a UK firm, is trading at 60.5% below its fair value with expectations of significant price recovery. While its dividend increase reflects strong financial health and confidence in future prospects, recent earnings have declined. The company's revenue growth is modest but exceeds the UK market average. RWS is set to become profitable within three years, with earnings forecasted to grow substantially annually. Insider ownership remains high, aligning interests with shareholders despite a volatile share price and upcoming CEO transition.

AIM:RWS Ownership Breakdown as at Jun 2024
AIM:RWS Ownership Breakdown as at Jun 2024

Volex (AIM:VLX)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Volex plc is a manufacturer and supplier of power products and cable assemblies, operating across North America, Europe, and Asia, with a market capitalization of approximately £0.62 billion.

Operations: The company generates revenue through the manufacture and supply of power products and cable assemblies across three key regions: North America, Europe, and Asia.

Insider Ownership: 26.9%

Volex, a UK-based company, is experiencing substantial growth with earnings increasing by 20.7% last year and expected to grow by 20.16% annually over the next three years. Despite a high level of debt, Volex's revenue growth is outpacing the UK market average at 13.3% per year, bolstered by strategic acquisitions such as Murat Ticaret which significantly contributed to a forecasted annual revenue of at least US$900 million. However, shareholder dilution has occurred in the past year and Return on Equity is projected to be low at 15.6%. Analysts predict a stock price increase of 24.9%.

AIM:VLX Earnings and Revenue Growth as at Jun 2024
AIM:VLX Earnings and Revenue Growth as at Jun 2024

Where To Now?

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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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