Stock Analysis

Dixon Technologies (India) Leads Three High Insider Ownership Growth Stocks On The Indian Exchange

NSEI:VBL
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The Indian market has shown robust growth, climbing 1.0% over the last week and achieving a remarkable 44% increase over the past 12 months, with earnings expected to grow by 16% annually. In such a thriving environment, stocks like Dixon Technologies (India), which combine high insider ownership with significant growth potential, are particularly compelling for investors looking to tap into this upward trajectory.

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%22.7%
Jupiter Wagons (NSEI:JWL)11.1%27.2%
Paisalo Digital (BSE:532900)16.3%23.8%
JNK India (NSEI:JNKINDIA)23.8%31.8%
Chalet Hotels (NSEI:CHALET)13.1%27.6%
Kirloskar Pneumatic (BSE:505283)30.6%27.7%

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

Here's a peek at a few of the choices from the screener.

Dixon Technologies (India) (NSEI:DIXON)

Simply Wall St Growth Rating: ★★★★★★

Overview: Dixon Technologies (India) Limited operates as an electronic manufacturing services provider in India, with a market capitalization of approximately ₹68.72 billion.

Operations: The company's revenue is segmented into home appliances (₹12.05 billion), security systems (₹6.33 billion), lighting products (₹7.87 billion), mobile and EMS division (₹109.19 billion), and consumer electronics & appliances (₹41.48 billion).

Insider Ownership: 24.9%

Dixon Technologies, a key player in India's electronics manufacturing sector, has demonstrated robust growth with substantial insider ownership fostering strong alignment between management and shareholder interests. Recently, Dixon reported a significant year-over-year increase in quarterly and annual revenues and net income. The company is expanding its manufacturing capabilities through strategic partnerships, like the recent MOU with Acerpure India CE Private Limited. Despite high expectations set by market analysts for revenue and earnings growth significantly outpacing the broader Indian market, Dixon maintains high-quality earnings with a very large expected increase in return on equity.

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

Persistent Systems (NSEI:PERSISTENT)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Persistent Systems Limited operates in the software industry, offering products, services, and technology solutions across India, North America, and other global markets with a market capitalization of approximately ₹57.27 billion.

Operations: Persistent Systems generates revenue from three primary segments: Healthcare & Life Sciences (₹20.88 billion), Software, Hi-Tech and Emerging Industries (₹45.95 billion), and Banking, Financial Services and Insurance (BFSI) at ₹31.39 billion.

Insider Ownership: 34.3%

Persistent Systems, a prominent Indian software and technology services company, is experiencing notable growth with high insider ownership contributing to its strategic direction. The company's earnings are forecasted to grow at 18.2% per year, slightly above the market average. Recent initiatives like the launch of GenAI Hub underscore Persistent's commitment to innovation in enterprise AI solutions, enhancing its competitive edge despite a challenging regulatory environment marked by minor fines in its Netherlands branch. This blend of insider alignment and technological advancement positions Persistent well for sustained growth.

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

Varun Beverages (NSEI:VBL)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Varun Beverages Limited operates as a franchisee of PepsiCo, producing and distributing carbonated soft drinks and non-carbonated beverages, with a market capitalization of approximately ₹2.10 billion.

Operations: The company generates revenue primarily through the manufacturing and sale of beverages, which amounted to ₹164.67 billion.

Insider Ownership: 36.4%

Varun Beverages, a key player in the Indian beverage sector, demonstrates robust growth potential with high insider ownership. The company recently expanded operations by opening a new subsidiary in Zimbabwe and starting production at its Uttar Pradesh facility. With earnings increasing by 29.4% over the past year and forecasted to grow at 24.7% annually, Varun Beverages outpaces the Indian market's average. However, it carries a high level of debt which could impact financial flexibility despite strong revenue growth projections of 16.7% annually.

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

Key Takeaways

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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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