Stock Analysis
3 Growth Companies With High Insider Ownership And 34% Earnings Growth
Reviewed by Simply Wall St
In a week marked by heightened economic activity and mixed earnings reports, global markets faced a downward trend, with major indices like the Nasdaq Composite and S&P MidCap 400 experiencing significant fluctuations. Amidst this backdrop, growth stocks underperformed compared to their value counterparts, highlighting investor caution in response to recent market events and economic signals. In such volatile environments, companies with strong insider ownership can be particularly appealing as they often indicate confidence from those closest to the business. This article explores three growth companies that not only boast high insider ownership but also demonstrate impressive earnings growth of 34%, making them noteworthy contenders in today's challenging market landscape.
Top 10 Growth Companies With High Insider Ownership
| Name | Insider Ownership | Earnings Growth |
| Archean Chemical Industries (NSEI:ACI) | 22.9% | 34% |
| People & Technology (KOSDAQ:A137400) | 16.4% | 35.6% |
| Kirloskar Pneumatic (BSE:505283) | 30.3% | 26.3% |
| Laopu Gold (SEHK:6181) | 36.4% | 33.6% |
| Medley (TSE:4480) | 34% | 30.4% |
| Seojin SystemLtd (KOSDAQ:A178320) | 31.1% | 49.1% |
| Findi (ASX:FND) | 34.8% | 64.8% |
| Plenti Group (ASX:PLT) | 12.8% | 107.6% |
| Brightstar Resources (ASX:BTR) | 14.8% | 84.6% |
| UTI (KOSDAQ:A179900) | 33.1% | 134.6% |
Let's uncover some gems from our specialized screener.
Intercos (BIT:ICOS)
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Intercos S.p.A., along with its subsidiaries, is engaged in the creation, production, and marketing of cosmetics and skin care products globally, with a market cap of €1.45 billion.
Operations: The company's revenue segments comprise €578.55 million from the Make up Line, €168.48 million from the Skin Care Line, and €252.73 million from the Hair & Body line.
Insider Ownership: 32.2%
Earnings Growth Forecast: 23.8% p.a.
Intercos is positioned for substantial growth, with earnings expected to increase by 23.8% annually, outpacing the Italian market's 7.2% growth rate. While revenue growth at 7.8% per year lags behind the ideal high-growth threshold, it remains above the Italian market average of 3.9%. Despite trading below analyst price targets and lacking recent insider trading activity, Intercos's forecasted performance suggests a promising trajectory for investors seeking growth opportunities in Italy.
- Take a closer look at Intercos' potential here in our earnings growth report.
- Upon reviewing our latest valuation report, Intercos' share price might be too optimistic.
Archean Chemical Industries (NSEI:ACI)
Simply Wall St Growth Rating: ★★★★★★
Overview: Archean Chemical Industries Limited is engaged in the manufacturing and sale of specialty marine chemicals both in India and internationally, with a market cap of ₹84.65 billion.
Operations: The company's revenue is primarily derived from its Marine Chemicals segment, which generated ₹11.99 billion.
Insider Ownership: 22.9%
Earnings Growth Forecast: 34% p.a.
Archean Chemical Industries demonstrates strong growth potential with earnings projected to rise 34% annually, surpassing the Indian market's 18% growth. Revenue is expected to grow at 28.5% per year, well above the market average of 10.2%. The stock trades at a good value, priced 13.1% below estimated fair value and analysts anticipate a price increase of nearly 30%. Despite an unstable dividend history and no recent insider trading activity, its financial outlook remains robust.
- Delve into the full analysis future growth report here for a deeper understanding of Archean Chemical Industries.
- Insights from our recent valuation report point to the potential undervaluation of Archean Chemical Industries shares in the market.
PNC Process Systems (SHSE:603690)
Simply Wall St Growth Rating: ★★★★★☆
Overview: PNC Process Systems Co., Ltd. engages in the research, development, production, and sale of semiconductor process equipment and related components in China, with a market cap of CN¥10.54 billion.
Operations: PNC Process Systems Co., Ltd. generates revenue through its activities in semiconductor process equipment, system integration and support equipment, and component materials within China.
Insider Ownership: 34.1%
Earnings Growth Forecast: 31% p.a.
PNC Process Systems shows significant growth potential with earnings expected to increase 31% annually, outpacing the Chinese market's 26.3%. Revenue is projected to grow at 20.2% per year, exceeding market expectations. Despite a low forecasted return on equity of 12.3%, the company's price-to-earnings ratio of 28.2x suggests it offers good value compared to the CN market average of 35.6x. Recent share buybacks aim to enhance shareholder value and employee incentives, indicating strategic financial management.
- Get an in-depth perspective on PNC Process Systems' performance by reading our analyst estimates report here.
- Our comprehensive valuation report raises the possibility that PNC Process Systems is priced higher than what may be justified by its financials.
Where To Now?
- Gain an insight into the universe of 1531 Fast Growing Companies With High Insider Ownership by clicking here.
- Have you diversified into these companies? Leverage the power of Simply Wall St's portfolio to keep a close eye on market movements affecting your investments.
- Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors.
Searching for a Fresh Perspective?
- 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.
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About SHSE:603690
PNC Process Systems
Researches, develops, produces, and sells semiconductor process equipment, system integration and support equipment, and component materials in China.
