Stock Analysis

Divgi TorqTransfer Systems And 2 Indian Exchange Growth Stocks With High Insider Ownership

NSEI:GREENPANEL
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The Indian stock market has shown robust growth, rising 2.3% over the last week and an impressive 45% over the past year, with earnings expected to grow by 16% annually. In such a thriving market, stocks like Divgi TorqTransfer Systems that combine high insider ownership with strong growth prospects can be particularly appealing to investors looking for aligned interests and potential value.

Top 10 Growth Companies With High Insider Ownership In India

NameInsider OwnershipEarnings Growth
Archean Chemical Industries (NSEI:ACI)22.9%28.9%
Pitti Engineering (BSE:513519)33.6%28.0%
Rajratan Global Wire (BSE:517522)19.8%33.5%
Dixon Technologies (India) (NSEI:DIXON)24.9%33.5%
Happiest Minds Technologies (NSEI:HAPPSTMNDS)37.8%22.9%
Jupiter Wagons (NSEI:JWL)11.1%27.2%
Paisalo Digital (BSE:532900)16.3%23.8%
JNK India (NSEI:JNKINDIA)23.8%31.8%
Apollo Hospitals Enterprise (NSEI:APOLLOHOSP)10.4%33.1%
Pricol (NSEI:PRICOLLTD)25.5%26.9%

Click here to see the full list of 82 stocks from our Fast Growing Indian Companies With High Insider Ownership screener.

Underneath we present a selection of stocks filtered out by our screen.

Divgi TorqTransfer Systems (NSEI:DIVGIITTS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Divgi TorqTransfer Systems Limited is a company that designs, develops, manufactures, and supplies engineered turnkey solutions and components to automotive OEMs globally, with a market cap of ₹20.94 billion.

Operations: The company generates ₹2.53 billion in revenue from its auto components and parts segment.

Insider Ownership: 10.1%

Earnings Growth Forecast: 26.6% p.a.

Divgi TorqTransfer Systems, a growth company with high insider ownership in India, is experiencing significant earnings growth, forecasted at 26.6% annually over the next three years, outpacing the Indian market's 16%. However, its revenue growth at 16.2% per year slightly lags behind the desired 20% threshold for high-growth categorization. Recent financials show a downturn with net income and revenue declining from the previous year. The low dividend cover and modest forecasted Return on Equity of 10.4% also pose concerns about its financial robustness despite strong growth projections.

NSEI:DIVGIITTS Earnings and Revenue Growth as at Jun 2024
NSEI:DIVGIITTS Earnings and Revenue Growth as at Jun 2024

Greenpanel Industries (NSEI:GREENPANEL)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Greenpanel Industries Limited specializes in the manufacturing, marketing, and sale of plywood, medium density fibre board (MDF), and related products across both Indian and international markets, with a market capitalization of ₹39.37 billion.

Operations: The company generates revenue primarily from two segments: plywood and allied products, which contributed ₹1.62 billion, and medium density fibre boards (MDF) and related products, with revenues of ₹14.05 billion.

Insider Ownership: 13.6%

Earnings Growth Forecast: 21.3% p.a.

Greenpanel Industries, a company with high insider ownership in India, is set to grow earnings by 21.3% annually, outperforming the Indian market's 16%. Despite this robust growth projection, its revenue increase of 13.6% annually trails behind the ideal high-growth benchmark of 20%. Recent financial results revealed a downturn with lower year-over-year earnings and revenue. Additionally, its dividend sustainability is questionable due to inadequate cash flow coverage.

NSEI:GREENPANEL Ownership Breakdown as at Jun 2024
NSEI:GREENPANEL Ownership Breakdown as at Jun 2024

Spandana Sphoorty Financial (NSEI:SPANDANA)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Spandana Sphoorty Financial Limited operates in the microfinance sector within India, with a market capitalization of approximately ₹55.66 billion.

Operations: The company generates its revenue primarily from financing activities, amounting to ₹13.25 billion.

Insider Ownership: 11.6%

Earnings Growth Forecast: 22.4% p.a.

Spandana Sphoorty Financial, a growth-oriented company with significant insider ownership in India, is expected to see its earnings rise by 22.39% annually. This forecasted growth in earnings outpaces the broader Indian market's projection of 16%. Despite strong revenue gains reported in the recent quarter and full fiscal year, challenges remain as its debt is poorly covered by operating cash flow. Additionally, recent executive changes and substantial private placements suggest active strategic maneuvers within the company's leadership structure.

NSEI:SPANDANA Earnings and Revenue Growth as at Jun 2024
NSEI:SPANDANA Earnings and Revenue Growth as at Jun 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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