Stock Analysis

Indian Exchange Growth Companies With High Insider Ownership In July 2024

NSEI:NAUKRI
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In the past year, India's stock market has shown robust growth, rising by 43%, despite a recent dip of 1.3% over the last week. In this context, companies with high insider ownership can be particularly compelling, as they often signal strong confidence in the company's future from those who know it best.

Top 10 Growth Companies With High Insider Ownership In India

NameInsider OwnershipEarnings Growth
Archean Chemical Industries (NSEI:ACI)22.9%28.9%
Kirloskar Pneumatic (BSE:505283)30.6%30.8%
Pitti Engineering (BSE:513519)30.3%28.0%
Dixon Technologies (India) (NSEI:DIXON)24.6%34.4%
Shivalik Bimetal Controls (BSE:513097)19.5%28.7%
Jupiter Wagons (NSEI:JWL)10.8%27.2%
Rajratan Global Wire (BSE:517522)19.8%33.5%
Paisalo Digital (BSE:532900)16.3%23.8%
JNK India (NSEI:JNKINDIA)23.8%31.8%
Pricol (NSEI:PRICOLLTD)25.5%26.9%

Click here to see the full list of 86 stocks from our Fast Growing Indian Companies With High Insider Ownership screener.

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

AU Small Finance Bank (NSEI:AUBANK)

Simply Wall St Growth Rating: ★★★★★☆

Overview: AU Small Finance Bank Limited operates as a provider of diverse banking and financial services across India, with a market capitalization of approximately ₹487.07 billion.

Operations: The bank generates revenue primarily through three segments: Treasury (₹17.04 billion), Retail Banking (₹91.18 billion), and Wholesale Banking (₹11.61 billion).

Insider Ownership: 24.3%

AU Small Finance Bank, a notable entity in the Indian financial sector, has demonstrated robust growth with a significant 24.7% annual increase in revenue and 24.17% in earnings forecasted over the next three years. Despite high insider ownership fostering strong alignment with shareholder interests, recent dilution and modest return on equity projections at 17% present challenges. The bank's recent strategic moves include plans to raise INR 110 billion through equity and debt to fuel further expansion, alongside managing minor regulatory penalties effectively.

NSEI:AUBANK Ownership Breakdown as at Jul 2024
NSEI:AUBANK Ownership Breakdown as at Jul 2024

Happy Forgings (NSEI:HAPPYFORGE)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Happy Forgings Limited operates in the manufacturing and sale of forgings and related components, serving markets both in India and internationally, with a market capitalization of approximately ₹113.07 billion.

Operations: The company generates ₹13.58 billion from its forged and machined products segment.

Insider Ownership: 26.8%

Happy Forgings, an Indian growth company with high insider ownership, has shown a promising trajectory with earnings growing at 25.1% annually over the past five years. Forecasts suggest a continued strong performance with earnings expected to grow by 24.06% per year and revenue by 18.7% annually, outpacing the broader Indian market's growth. Recent inclusion in the S&P Global BMI Index highlights its market recognition. However, its dividend coverage is weak, reflecting potential cash flow concerns despite robust profit growth.

NSEI:HAPPYFORGE Earnings and Revenue Growth as at Jul 2024
NSEI:HAPPYFORGE Earnings and Revenue Growth as at Jul 2024

Info Edge (India) (NSEI:NAUKRI)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Info Edge (India) Limited is an online classifieds company engaged in recruitment, matrimony, real estate, and education services both in India and globally, with a market capitalization of approximately ₹894.01 billion.

Operations: The company generates revenue primarily through recruitment solutions and real estate services, with earnings of ₹18.80 billion and ₹3.51 billion respectively.

Insider Ownership: 37.9%

Info Edge (India) has recently transitioned to profitability, with a significant turnaround in net income from a substantial loss last year. Despite the recent resignation of a key executive, the company has maintained active engagement in influential financial conferences, signaling ongoing strategic communications. Insider transactions over the past three months show more buying than selling, reflecting confidence from within despite slower revenue growth projections (12.1% annually) compared to higher market expectations. However, its forecasted earnings growth is robust at 24.1% annually, outperforming broader market predictions.

NSEI:NAUKRI Earnings and Revenue Growth as at Jul 2024
NSEI:NAUKRI Earnings and Revenue Growth as at Jul 2024

Summing It All Up

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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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