Stock Analysis

SEHK Growth Companies With High Insider Ownership

SEHK:669
Source: Shutterstock

The Hong Kong market has shown resilience amid global economic uncertainties, with the Hang Seng Index gaining 0.85% recently. As investors seek stability and growth, companies with high insider ownership often signal strong confidence from those closest to the business. In this article, we explore three growth companies listed on the SEHK that exhibit substantial insider ownership, making them noteworthy in today's volatile market environment.

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.

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

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, offers live streaming, online marketing, and other services in the People’s Republic of China.

Operations: The company's revenue segments are comprised of CN¥114.72 billion from domestic operations and CN¥2.94 billion from overseas activities.

Insider Ownership: 19.2%

Earnings Growth Forecast: 22.4% p.a.

Kuaishou Technology, a growth company with high insider ownership in Hong Kong, has recently achieved profitability and is trading at 53.1% below its estimated fair value. Analysts forecast significant earnings growth of 22.41% annually over the next three years, outpacing the Hong Kong market's average. The company's revenue is expected to grow faster than the market at 9.7% per year. Recent upgrades to its Kling AI video generation model and a new subscription program signal strong product innovation and potential for increased user engagement and monetization.

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

BYD (SEHK:1211)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: BYD Company Limited, with a market cap of HK$682.38 billion, operates in the automobiles and batteries business across the People’s Republic of China, Hong Kong, Macau, Taiwan, and internationally.

Operations: The company generates revenue from its automobiles and batteries business segments in the People’s Republic of China, Hong Kong, Macau, Taiwan, and internationally.

Insider Ownership: 30.1%

Earnings Growth Forecast: 15.2% p.a.

BYD's earnings are forecast to grow 15.22% annually, outpacing the Hong Kong market's 11.3%. Recent production and sales volumes have significantly increased year-over-year, with July 2024 seeing production at 1.96 million units and sales at 1.95 million units YTD. The strategic partnership with Uber aims to deploy 100,000 BYD EVs globally, enhancing growth prospects. High insider ownership aligns management interests with shareholders, bolstering investor confidence in its long-term vision.

SEHK:1211 Earnings and Revenue Growth as at Aug 2024
SEHK:1211 Earnings and Revenue Growth 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 globally with a market cap of HK$178.58 billion.

Operations: The company generates revenue primarily from power equipment ($13.23 billion) and floorcare and cleaning products ($965.09 million).

Insider Ownership: 25.4%

Earnings Growth Forecast: 15.3% p.a.

Techtronic Industries, with substantial insider ownership, is poised for growth with earnings forecasted to increase 15.31% annually, surpassing the Hong Kong market's 11.3%. Recent financials show a robust performance, with half-year sales reaching US$7.31 billion and net income at US$550.37 million. The company's recent executive changes and continued insider buying signal strong internal confidence in its future prospects, further supported by its trading below estimated fair value and high return on equity forecasts.

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

Summing It All Up

Interested In Other Possibilities?

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.

Valuation is complex, but we're here to simplify it.

Discover if Techtronic Industries might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

Access Free Analysis

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com