Stock Analysis

3 SEHK Growth Stocks With High Insider Ownership And Up To 22% Earnings Growth

SEHK:9911
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The Hong Kong market has seen a mix of volatility and resilience, with the Hang Seng Index recently gaining 0.85% despite broader concerns about deflationary pressures in China. In this environment, growth companies with high insider ownership can be particularly appealing as they often signal strong confidence from those who know the business best.

Top 10 Growth Companies With High Insider Ownership In Hong Kong

NameInsider OwnershipEarnings Growth
iDreamSky Technology Holdings (SEHK:1119)18.8%104.1%
Pacific Textiles Holdings (SEHK:1382)11.2%37.7%
Tian Tu Capital (SEHK:1973)34%70.5%
Adicon Holdings (SEHK:9860)22.4%28.3%
Ocumension Therapeutics (SEHK:1477)23.3%106%
Zylox-Tonbridge Medical Technology (SEHK:2190)18.7%79.3%
Zhejiang Leapmotor Technology (SEHK:9863)15%74.3%
Biocytogen Pharmaceuticals (Beijing) (SEHK:2315)13.9%100.1%
Beijing Airdoc Technology (SEHK:2251)28.6%83.9%
DPC Dash (SEHK:1405)38.2%91.4%

Click here to see the full list of 52 stocks from our Fast Growing SEHK Companies With High Insider Ownership screener.

We're going to check out a few of the best picks from our screener tool.

Kuaishou Technology (SEHK:1024)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Kuaishou Technology, an investment holding company with a market cap of HK$195.94 billion, provides live streaming, online marketing, and other services in the People’s Republic of China.

Operations: Revenue Segments: Kuaishou Technology generates CN¥114.72 billion from domestic operations and CN¥2.94 billion from overseas markets.

Insider Ownership: 19.2%

Earnings Growth Forecast: 22.4% p.a.

Kuaishou Technology stands out as a growth company with high insider ownership in Hong Kong. Recent product upgrades, including the Kling AI video generation model, have enhanced user engagement and commercial potential. The company's revenue is forecasted to grow at 9.7% annually, faster than the Hong Kong market average. Kuaishou's earnings are expected to increase by 22.41% per year, supported by strong insider confidence and strategic initiatives like share buybacks worth HK$16 billion until 2027.

SEHK:1024 Ownership Breakdown as at Aug 2024
SEHK:1024 Ownership Breakdown as at Aug 2024

Techtronic Industries (SEHK:669)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Techtronic Industries Company Limited designs, manufactures, and markets power tools, outdoor power equipment, and floorcare and cleaning products across North America, Europe, and internationally with a market cap of HK$178.58 billion.

Operations: Techtronic Industries generates revenue primarily from its Power Equipment segment, which accounts for $13.23 billion, and its Floorcare & Cleaning segment, contributing $965.09 million.

Insider Ownership: 25.4%

Earnings Growth Forecast: 15.3% p.a.

Techtronic Industries exemplifies a growth company with significant insider ownership in Hong Kong. The firm's earnings grew by 7.8% over the past year, and its revenue is forecasted to grow at 8.5% annually, outpacing the market average. Analysts predict a 15.3% annual earnings growth rate, supported by substantial insider buying in recent months. The stock trades at 33.7% below its estimated fair value, and insiders have shown confidence through consistent share purchases without significant sales recently.

SEHK:669 Earnings and Revenue Growth as at Aug 2024
SEHK:669 Earnings and Revenue Growth as at Aug 2024

Newborn Town (SEHK:9911)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Newborn Town Inc. (SEHK:9911) is an investment holding company that operates in the social networking sector globally, with a market cap of HK$3.52 billion.

Operations: Newborn Town Inc.'s revenue primarily comes from its Social Networking Business, generating CN¥2.97 billion, and its Innovative Business, contributing CN¥335.88 million.

Insider Ownership: 35.3%

Earnings Growth Forecast: 12.2% p.a.

Newborn Town Inc. showcases strong growth potential with high insider ownership in Hong Kong. The company’s revenue is projected to grow at 16.9% annually, surpassing the market average of 7.4%. Earnings are expected to increase by 12.2% per year, outpacing the market's 11.3%, despite not being significantly high. Trading at a substantial discount of 77.6% below its estimated fair value, Newborn Town recently amended its bylaws to potentially enhance governance and operational flexibility.

SEHK:9911 Earnings and Revenue Growth as at Aug 2024
SEHK:9911 Earnings and Revenue Growth as at Aug 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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