Stock Analysis

3 Indian Growth Stocks With Up To 36% Insider Ownership

NSEI:MTARTECH
Source: Shutterstock

In the last week, the Indian market has been flat with a notable 4.1% drop in the Energy sector, yet it remains up 41% over the past year with earnings forecasted to grow by 17% annually. In this thriving environment, growth companies with substantial insider ownership can offer unique investment opportunities due to their strong alignment of interests between management and shareholders.

Top 10 Growth Companies With High Insider Ownership In India

NameInsider OwnershipEarnings Growth
Archean Chemical Industries (NSEI:ACI)22.9%33.7%
Kirloskar Pneumatic (BSE:505283)30.4%30.1%
Dixon Technologies (India) (NSEI:DIXON)24.6%36.7%
Jupiter Wagons (NSEI:JWL)10.8%27.4%
Happiest Minds Technologies (NSEI:HAPPSTMNDS)32.5%22.2%
Paisalo Digital (BSE:532900)16.3%24.8%
Apollo Hospitals Enterprise (NSEI:APOLLOHOSP)10.4%32.3%
KEI Industries (BSE:517569)18.7%22.4%
Pricol (NSEI:PRICOLLTD)25.5%24%
Aether Industries (NSEI:AETHER)31.1%45.9%

Click here to see the full list of 93 stocks from our Fast Growing Indian Companies With High Insider Ownership screener.

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

Godrej Consumer Products (NSEI:GODREJCP)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Godrej Consumer Products Limited is a fast-moving consumer goods company that manufactures and markets personal care and home care products in India, Africa, Indonesia, the Middle East, the United States of America, and internationally with a market cap of ₹1.54 trillion.

Operations: Godrej Consumer Products Limited generates revenue of ₹139.79 billion from the manufacturing of personal, household, and hair care products.

Insider Ownership: 13.8%

Godrej Consumer Products, a growth company with high insider ownership, recently announced significant management changes and expansion into the pet care market. The company plans to invest ₹5 billion over five years in this new venture. Despite a slight revenue dip to ₹34.09 billion in Q1 2024, net income rose to ₹4.51 billion from ₹3.19 billion the previous year. Earnings are forecasted to grow annually by 58.31%, indicating strong future profitability expectations.

NSEI:GODREJCP Ownership Breakdown as at Sep 2024
NSEI:GODREJCP Ownership Breakdown as at Sep 2024

MTAR Technologies (NSEI:MTARTECH)

Simply Wall St Growth Rating: ★★★★★☆

Overview: MTAR Technologies Limited is a precision engineering solutions company that develops, manufactures, and sells high precision heavy equipment, components, and machines in India and internationally with a market cap of ₹55.51 billion.

Operations: Revenue from manufacturing high precision and heavy equipment, components, and machines is ₹5.56 billion.

Insider Ownership: 36.4%

MTAR Technologies, with high insider ownership and minimal recent insider selling, is forecast to see significant earnings growth of 40.03% annually over the next three years. Despite a drop in Q1 revenue to ₹1.29 billion from ₹1.57 billion and net income to ₹44.28 million from ₹203.36 million year-over-year, the company secured a $16.73 million export order in the clean energy sector, indicating robust future prospects amidst current challenges.

NSEI:MTARTECH Ownership Breakdown as at Sep 2024
NSEI:MTARTECH Ownership Breakdown as at Sep 2024

Pricol (NSEI:PRICOLLTD)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Pricol Limited, along with its subsidiaries, manufactures and sells instrument clusters and other allied automobile components to original equipment manufacturers and replacement markets in India and internationally, with a market cap of ₹58.74 billion.

Operations: Pricol Limited's revenue primarily comes from its automotive components segment, amounting to ₹23.55 billion.

Insider Ownership: 25.5%

Pricol Limited, with substantial insider ownership, is forecast to achieve annual earnings growth of 24% and revenue growth of 16.5%, both outpacing the Indian market. Recent developments include active pursuit of acquisitions to diversify its portfolio and expand globally. Q1 FY25 results showed a rise in net income to ₹455.61 million from ₹319.38 million year-over-year, driven by consistent market outperformance and new project launches across various vehicle segments.

NSEI:PRICOLLTD Earnings and Revenue Growth as at Sep 2024
NSEI:PRICOLLTD Earnings and Revenue Growth as at Sep 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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