Three SEHK Growth Companies With High Insider Ownership

As global markets remain volatile, the Hong Kong market has also experienced its share of fluctuations, reflecting broader economic uncertainties and investor sentiment. Despite these challenges, growth companies with high insider ownership often stand out as promising investments due to the confidence and commitment demonstrated by their leadership. In this article, we explore three such companies listed on the SEHK that exhibit strong growth potential and significant insider ownership.

Top 10 Growth Companies With High Insider Ownership In Hong Kong

Name	Insider Ownership	Earnings Growth
iDreamSky Technology Holdings (SEHK:1119)	20.2%	104.1%
Pacific Textiles Holdings (SEHK:1382)	11.2%	37.7%
Tian Tu Capital (SEHK:1973)	34%	70.5%
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%	91.4%
Biocytogen Pharmaceuticals (Beijing) (SEHK:2315)	13.9%	100.1%
Beijing Airdoc Technology (SEHK:2251)	28.7%	83.9%
Ocumension Therapeutics (SEHK:1477)	23.3%	93.7%

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

Let's take a closer look at a couple of our picks from the screened companies.

Meitu (SEHK:1357)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Meitu, Inc. is an investment holding company that develops beauty-related digital solutions for image, video, and design production in China and internationally, with a market cap of HK$11.97 billion.

Operations: The company's revenue from its Internet Business segment is CN¥2.70 billion.

Insider Ownership: 36.6%

Meitu, Inc. showcases significant insider ownership and is projected to grow earnings by 28.6% annually, outpacing the Hong Kong market's average growth rate of 11.3%. Recent guidance indicates a net profit increase of at least 30% for H1 2024 compared to last year. Despite substantial insider selling over the past three months, the stock trades at a considerable discount to its estimated fair value and has seen robust earnings growth of over 300% in the past year.

• Click here and access our complete growth analysis report to understand the dynamics of Meitu.
• The valuation report we've compiled suggests that Meitu's current price could be inflated.

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

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Xiamen Yan Palace Bird's Nest Industry Co., Ltd. (SEHK:1497) specializes in the research, development, production, and marketing of edible bird’s nest products in China and has a market cap of HK$6.87 billion.

Operations: The company's revenue segments, in millions of CN¥, are as follows: Sales to Online Distributors: 16.75, Sales to Offline Distributors: 509.04, Direct Sales to Online Customers: 824.40, Direct Sales to Offline Customers: 351.17, and Direct Sales to E-Commerce Platforms: 262.89.

Insider Ownership: 26.7%

Xiamen Yan Palace Bird's Nest Industry demonstrates high insider ownership and is expected to grow earnings by 14.8% annually, surpassing the Hong Kong market's average growth rate of 11.3%. Despite a forecasted net profit decline for H1 2024 due to challenging conditions, revenue continues to grow steadily, driven by online sales. The company's Return on Equity is projected to reach a high level in three years, indicating strong future profitability potential.

• Unlock comprehensive insights into our analysis of Xiamen Yan Palace Bird's Nest Industry stock in this growth report.
• Our expertly prepared valuation report Xiamen Yan Palace Bird's Nest Industry implies its share price may be too high.

Adicon Holdings (SEHK:9860)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Adicon Holdings Limited operates medical laboratories in the People’s Republic of China and has a market cap of HK$6.99 billion.

Operations: Adicon Holdings Limited generates revenue primarily from its Healthcare Facilities & Services segment, which amounted to CN¥3.30 billion.

Insider Ownership: 22.4%

Adicon Holdings, with high insider ownership, is projected to grow earnings by 28.33% annually, significantly outpacing the Hong Kong market's average growth rate of 11.3%. Recent share buybacks are expected to enhance net asset value and earnings per share. Despite a dip in profit margins from 14% to 7.1%, revenue growth remains robust at an anticipated 14.3% per year. The appointment of Mr. ZHOU Mintao as a non-executive director underscores strategic leadership changes aimed at driving future growth.

• Take a closer look at Adicon Holdings' potential here in our earnings growth report.
• The analysis detailed in our Adicon Holdings valuation report hints at an inflated share price compared to its estimated value.

Seize The Opportunity

• Embark on your investment journey to our 54 Fast Growing SEHK Companies With High Insider Ownership selection here.
• Are these companies part of your investment strategy? Use Simply Wall St to consolidate your holdings into a portfolio and gain insights with our comprehensive analysis tools.
• Streamline your investment strategy with Simply Wall St's app for free and benefit from extensive research on stocks across all corners of the world.

Seeking Other Investments?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
• Find companies with promising cash flow potential yet trading below their fair value.

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.

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