Stock Analysis

3 High Growth SEHK Stocks With Significant Insider Ownership

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As the Hong Kong market continues to show resilience amid global economic fluctuations, investors are increasingly looking for growth opportunities with strong insider ownership. In this article, we will explore three high-growth stocks listed on the SEHK that boast significant insider ownership, a trait often associated with confidence in the company's future prospects.

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%
Zylox-Tonbridge Medical Technology (SEHK:2190)18.7%70.6%
Tian Tu Capital (SEHK:1973)34%70.5%
Adicon Holdings (SEHK:9860)22.4%28.3%
Zhejiang Leapmotor Technology (SEHK:9863)15%76.4%
Biocytogen Pharmaceuticals (Beijing) (SEHK:2315)13.9%100.1%
Beijing Airdoc Technology (SEHK:2251)28.6%83.9%
DPC Dash (SEHK:1405)38.2%91.5%
Lianlian DigiTech (SEHK:2598)19.7%90.7%

Click here to see the full list of 51 stocks from our Fast Growing SEHK Companies With High Insider Ownership screener.

We'll examine a selection from our screener results.

BYD (SEHK:1211)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: BYD Company Limited, along with its subsidiaries, operates in the automobiles and batteries sectors across the People’s Republic of China, Hong Kong, Macau, Taiwan, and internationally with a market cap of HK$724.44 billion.

Operations: The company's revenue segments include automobiles and batteries, serving various regions including the People’s Republic of China, Hong Kong, Macau, Taiwan, and international markets.

Insider Ownership: 30.1%

Revenue Growth Forecast: 14.0% p.a.

BYD, a growth company with high insider ownership in Hong Kong, is trading at 58.1% below its estimated fair value. Its earnings and revenue are forecast to grow faster than the Hong Kong market at 15.2% and 14% per year, respectively. Recent strategic partnerships, such as with Uber for electric vehicles, further bolster its growth prospects. BYD's production and sales volumes have significantly increased year-to-date compared to last year, supporting its robust expansion strategy.

SEHK:1211 Earnings and Revenue Growth as at Aug 2024

Shenzhen Pagoda Industrial (Group) (SEHK:2411)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Shenzhen Pagoda Industrial (Group) Corporation Limited operates as a fruit retailer in China, Indonesia, Singapore, Hong Kong, and internationally with a market cap of HK$2.72 billion.

Operations: Shenzhen Pagoda Industrial (Group) Corporation Limited generates revenue primarily from its fruit retail operations in China, Indonesia, Singapore, Hong Kong, and other international markets.

Insider Ownership: 26.8%

Revenue Growth Forecast: 15.6% p.a.

Shenzhen Pagoda Industrial (Group) has high insider ownership and is trading at 4% below its estimated fair value. Despite a forecasted annual earnings growth of 31.7%, recent financial results show a decline in revenue to CNY 5.59 billion and net income to CNY 88.51 million for the first half of 2024, primarily due to increased investment in store refurbishments and marketing campaigns, as well as weak consumer demand influenced by external factors.

SEHK:2411 Ownership Breakdown as at Aug 2024

Meituan (SEHK:3690)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Meituan is a technology retail company operating in the People's Republic of China with a market cap of HK$662.89 billion.

Operations: Meituan generates revenue from various segments including food delivery, in-store, hotel and travel services, and new initiatives.

Insider Ownership: 11.6%

Revenue Growth Forecast: 12.8% p.a.

Meituan's earnings are forecast to grow 31.3% annually, outpacing the Hong Kong market. Despite trading at 73% below its estimated fair value, revenue growth is expected to be slower than 20% per year but faster than the market average. Recent events include a $2 billion share repurchase program and amendments to company bylaws. Insider transactions show more buying than selling in the past three months, though not substantially so.

SEHK:3690 Earnings and Revenue Growth as at Aug 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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