Stock Analysis

SEHK Growth Companies With High Insider Ownership In July 2024

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As global markets exhibit mixed signals with notable shifts in major indices, the Hong Kong market also reflects a complex landscape influenced by broader economic trends and regional policy adjustments. In this context, examining growth companies with high insider ownership in Hong Kong offers a unique perspective on potential resilience and strategic alignment in uncertain times.

Top 10 Growth Companies With High Insider Ownership In Hong Kong

NameInsider OwnershipEarnings Growth
iDreamSky Technology Holdings (SEHK:1119)20.2%104.1%
Pacific Textiles Holdings (SEHK:1382)11.2%37.7%
Fenbi (SEHK:2469)30.6%42.8%
Adicon Holdings (SEHK:9860)22.4%28.3%
Zhejiang Leapmotor Technology (SEHK:9863)15%73%
DPC Dash (SEHK:1405)38.2%90.5%
Zylox-Tonbridge Medical Technology (SEHK:2190)18.7%79.3%
Biocytogen Pharmaceuticals (Beijing) (SEHK:2315)13.9%100.1%
Ocumension Therapeutics (SEHK:1477)23.3%93.7%
Beijing Airdoc Technology (SEHK:2251)28.7%83.9%

Click here to see the full list of 54 stocks from our Fast Growing SEHK Companies With High Insider Ownership screener.

Let's explore several standout options from the results in the screener.

Meitu (SEHK:1357)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Meitu, Inc. is an investment holding company specializing in products for image, video, and design production aimed at advancing digitalization in the beauty industry, operating both in the People’s Republic of China and internationally, with a market cap of approximately HK$11.20 billion.

Operations: The company generates revenue primarily through its Internet Business segment, which reported earnings of CN¥2.70 billion.

Insider Ownership: 36.6%

Earnings Growth Forecast: 28.6% p.a.

Meitu, a growth company with high insider ownership in Hong Kong, has seen substantial leadership changes with the retirement of key board members and introduction of new directors, potentially impacting governance dynamics. Despite these shifts, Meitu's financial performance remains robust with a notable increase in earnings by 301.8% over the past year. The company is trading significantly below its estimated fair value and is expected to maintain strong revenue and profit growth rates above market forecasts for the coming years. However, it faces challenges from large one-off items affecting its financial results. Recent shareholder approvals for dividend increases and amendments to company bylaws suggest active stakeholder engagement.

SEHK:1357 Ownership Breakdown as at Jul 2024

Xiamen Yan Palace Bird's Nest Industry (SEHK:1497)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Xiamen Yan Palace Bird's Nest Industry Co., Ltd. focuses on the research, development, production, and marketing of edible bird’s nest products in China, with a market capitalization of HK$6.68 billion.

Operations: The company generates revenue through CN¥16.75 million in sales to online distributors, CN¥509.04 million in sales to offline distributors, CN¥824.40 million from direct sales to online customers, CN¥351.17 million from direct sales to offline customers, and CN¥262.89 million through direct sales to e-commerce platforms.

Insider Ownership: 26.7%

Earnings Growth Forecast: 14.8% p.a.

Xiamen Yan Palace Bird's Nest Industry, a growth company in Hong Kong with high insider ownership, forecasts a revenue increase between 10% and 15% for the first half of 2024 compared to the previous year. However, net profit is expected to decrease by approximately 40% to 50%. The company's earnings are projected to grow at 14.8% annually, outpacing the Hong Kong market average of 11.3%. Despite these challenges, its return on equity is anticipated to be high at 27.3%, signaling strong profitability potential amidst a tough operating environment.

SEHK:1497 Ownership Breakdown as at Jul 2024

Beisen Holding (SEHK:9669)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Beisen Holding Limited, an investment holding company based in the People's Republic of China, offers cloud-based human capital management solutions to help enterprises recruit, manage, and develop talent, with a market capitalization of approximately HK$2.70 billion.

Operations: The company generates revenue primarily through its cloud-based human capital management solutions and related professional services, amounting to CN¥0.85 billion.

Insider Ownership: 31.6%

Earnings Growth Forecast: 98% p.a.

Beisen Holding, despite its highly volatile share price and a substantial net loss of CNY 3.21 billion in FY2024, shows promise with insider buying activity and expected profitability within three years. Revenue growth at 15.5% annually surpasses the Hong Kong market's 7.4%, with earnings potentially increasing by about 98% per year. However, a low forecasted return on equity of 8.1% tempers expectations for immediate robust financial health.

SEHK:9669 Earnings and Revenue Growth as at Jul 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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