Top Growth Companies With High Insider Ownership On Indian Exchanges September 2024

In the last week, the Indian market has been flat, but over the past 12 months, it has risen by an impressive 43%, with earnings forecasted to grow by 17% annually. In this robust environment, growth companies with high insider ownership can be particularly attractive as they often indicate strong confidence from those who know the business best.

Top 10 Growth Companies With High Insider Ownership In India

Click here to see the full list of 94 stocks from our Fast Growing Indian Companies With High Insider Ownership screener.

Below we spotlight a couple of our favorites from our exclusive screener.

AU Small Finance Bank (NSEI:AUBANK)

Simply Wall St Growth Rating: ★★★★★☆

Overview: AU Small Finance Bank Limited provides a range of banking and financial services in India and has a market cap of ₹522.55 billion.

Operations: AU Small Finance Bank's revenue segments include Treasury (₹18.63 billion), Retail Banking (₹103.26 billion), Wholesale Banking (₹12.74 billion), and Other Banking Operations (₹3.78 billion).

Insider Ownership: 24.3%

AU Small Finance Bank has shown robust earnings growth, reporting a net income of ₹5.03 billion for Q1 2024, up from ₹3.87 billion a year ago. Despite some regulatory penalties and management changes, the bank's revenue is forecast to grow at 24.2% annually, outpacing the Indian market's 10% rate. With substantial insider ownership and a price-to-earnings ratio of 31.7x below the market average, it remains an attractive growth prospect despite past shareholder dilution and low future return on equity forecasts (16.7%).

• Get an in-depth perspective on AU Small Finance Bank's performance by reading our analyst estimates report here.
• Our expertly prepared valuation report AU Small Finance Bank implies its share price may be too high.

Krishna Institute of Medical Sciences (NSEI:KIMS)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Krishna Institute of Medical Sciences Limited operates under the KIMS Hospitals brand, offering medical and healthcare services in India, with a market cap of ₹214.42 billion.

Operations: The company's revenue segment consists of ₹25.81 billion from medical and healthcare services.

Insider Ownership: 34%

Krishna Institute of Medical Sciences (KIMS) is experiencing significant growth, with revenue forecasted to increase at 20.4% per year and earnings expected to grow by 21.65% annually, both outpacing the Indian market. Despite a high level of debt and a forecasted low return on equity (17.9%), KIMS reported strong Q1 results for 2024, with sales reaching ₹6.88 billion and net income rising to ₹866 million from ₹808 million a year ago.

• Click to explore a detailed breakdown of our findings in Krishna Institute of Medical Sciences' earnings growth report.
• According our valuation report, there's an indication that Krishna Institute of Medical Sciences' share price might be on the expensive side.

One97 Communications (NSEI:PAYTM)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: One97 Communications Limited offers payment, commerce and cloud, and financial services to consumers and merchants in India, with a market cap of ₹398.73 billion.

Operations: The company's revenue primarily comes from data processing, amounting to ₹91.38 billion.

Insider Ownership: 20.7%

One97 Communications, the parent company of Paytm, is focusing on core payments and financial services by divesting its entertainment ticketing business to Zomato for ₹20.48 billion. This strategic move enhances its balance sheet and aligns with its growth objectives. Despite regulatory penalties and a substantial net loss in Q1 2024, partnerships like the one with FlixBus underscore Paytm's commitment to expanding its service offerings. Analysts forecast significant profit growth over the next three years.

• Unlock comprehensive insights into our analysis of One97 Communications stock in this growth report.
• Insights from our recent valuation report point to the potential overvaluation of One97 Communications shares in the market.

Key Takeaways

• Reveal the 94 hidden gems among our Fast Growing Indian Companies With High Insider Ownership screener with a single click here.
• Hold shares in these firms? Setup your portfolio in Simply Wall St to seamlessly track your investments and receive personalized updates on your portfolio's performance.
• Simply Wall St is a revolutionary app designed for long-term stock investors, it's free and covers every market in the world.

Curious About Other Options?

• 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