Stock Analysis

3 High Growth Stocks With Up To 38% Insider Ownership

SEHK:6682
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In recent weeks, global markets have experienced volatility, with rising U.S. Treasury yields impacting stock performance and leading to a mixed outlook for equities. Despite this uncertainty, growth stocks have shown resilience, particularly those in the tech sector as evidenced by the Nasdaq Composite Index's slight gains. In such an environment, companies with high insider ownership can be appealing as they often indicate confidence from those closest to the business's operations and future potential.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Lavvi Empreendimentos Imobiliários (BOVESPA:LAVV3)11.9%21.1%
People & Technology (KOSDAQ:A137400)16.4%35.6%
Laopu Gold (SEHK:6181)36.4%33.2%
Medley (TSE:4480)34%30.4%
Seojin SystemLtd (KOSDAQ:A178320)30.7%49.1%
Findi (ASX:FND)35.8%64.8%
HANA Micron (KOSDAQ:A067310)18.3%105.8%
Pharma Mar (BME:PHM)11.8%55.1%
Plenti Group (ASX:PLT)12.8%107.6%
UTI (KOSDAQ:A179900)33.1%134.6%

Click here to see the full list of 1514 stocks from our Fast Growing Companies With High Insider Ownership screener.

Let's dive into some prime choices out of the screener.

ZeusLtd (KOSDAQ:A079370)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Zeus Co., Ltd. offers semiconductor, robot, and display total solutions both in South Korea and internationally, with a market cap of approximately ₩389.86 billion.

Operations: The company's revenue is primarily derived from its Equipment Division, which accounts for ₩467.14 billion, followed by its Valve segment at ₩23.67 billion.

Insider Ownership: 33.4%

Zeus Ltd. is poised for significant growth, with earnings expected to rise by 44.2% annually over the next three years, outpacing the KR market. The company trades at 31.4% below its estimated fair value and has initiated a share repurchase program worth KRW 3 billion to stabilize stock prices and enhance shareholder value. Recent financial results showed robust improvement, with Q2 sales rising to KRW 130.80 million from KRW 95.13 million year-on-year.

KOSDAQ:A079370 Ownership Breakdown as at Oct 2024
KOSDAQ:A079370 Ownership Breakdown as at Oct 2024

DPC Dash (SEHK:1405)

Simply Wall St Growth Rating: ★★★★★☆

Overview: DPC Dash Ltd, along with its subsidiaries, operates a chain of fast-food restaurants in the People’s Republic of China and has a market cap of HK$8.52 billion.

Operations: The company generates revenue of CN¥3.72 billion from its fast-food restaurant operations in the People’s Republic of China.

Insider Ownership: 38.1%

DPC Dash is set to become profitable within three years, with revenue expected to grow at 24.9% annually, outpacing the Hong Kong market. Despite trading at 50% below its estimated fair value, insider activity shows substantial buying over selling in recent months. However, significant insider selling was noted in the past quarter. Recent earnings reported for H1 2024 showed sales of CNY 2.04 billion and a net income of CNY 10.91 million, reflecting steady growth from the previous year.

SEHK:1405 Earnings and Revenue Growth as at Oct 2024
SEHK:1405 Earnings and Revenue Growth as at Oct 2024

Beijing Fourth Paradigm Technology (SEHK:6682)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Beijing Fourth Paradigm Technology Co., Ltd. is an investment holding company that offers platform-centric artificial intelligence (AI) solutions in the People's Republic of China, with a market cap of HK$10.36 billion.

Operations: The company generates revenue from its Sage AI Platform (CN¥3.00 billion), Sagegpt Aigs Services (CN¥448.10 million), and Shift Intelligent Solutions (CN¥1.15 billion).

Insider Ownership: 22.8%

Beijing Fourth Paradigm Technology is expected to achieve profitability within three years, with revenue projected to grow at 19.4% annually, surpassing the Hong Kong market's growth rate. Although recent insider trading data is unavailable, the company has been added to the S&P Global BMI Index. Recent financial results showed a decrease in net loss for H1 2024, with sales reaching CNY 1.87 billion compared to CNY 1.47 billion last year.

SEHK:6682 Ownership Breakdown as at Oct 2024
SEHK:6682 Ownership Breakdown as at Oct 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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