Stock Analysis

Top Growth Companies With Significant Insider Ownership

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As global markets navigate the challenges posed by rising U.S. Treasury yields and shifting economic conditions, investors are increasingly focused on growth companies that demonstrate resilience and potential for long-term success. In such an environment, stocks with significant insider ownership can be particularly appealing, as they often indicate confidence from those closest to the company and align management's interests with shareholders.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Lavvi Empreendimentos Imobiliários (BOVESPA:LAVV3)11.9%21.1%
Zhejiang Jolly PharmaceuticalLTD (SZSE:300181)23.5%24.6%
Arctech Solar Holding (SHSE:688408)37.8%25.3%
Medley (TSE:4480)34%30.4%
Seojin SystemLtd (KOSDAQ:A178320)30.7%49.1%
Findi (ASX:FND)35.8%64.8%
Credo Technology Group Holding (NasdaqGS:CRDO)13.9%95%
Pharma Mar (BME:PHM)11.8%49%
EHang Holdings (NasdaqGM:EH)32.8%81.4%
UTI (KOSDAQ:A179900)33.1%134.6%

Click here to see the full list of 1466 stocks from our Fast Growing Companies With High Insider Ownership screener.

Let's dive into some prime choices out of the screener.

S H Kelkar (NSEI:SHK)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: S H Kelkar and Company Limited, along with its subsidiaries, is engaged in the manufacturing and supply of fragrances, flavors, and aroma ingredients in India, with a market capitalization of ₹41.32 billion.

Operations: The company's revenue segments include ₹2.59 billion from flavors and ₹22.08 billion from fragrances.

Insider Ownership: 38%

Revenue Growth Forecast: 11.1% p.a.

S H Kelkar has demonstrated significant growth potential, with earnings forecasted to grow at 44.9% annually, outpacing the Indian market's average. Recent announcements revealed a 17.4% increase in H1 FY2025 revenues to INR 10 billion, despite a reported net loss in Q1 due to large one-off items. The company is expanding its fragrance and flavor operations with an INR 800 million investment, financed through internal accruals and borrowing, aiming for operational risk mitigation and future growth.

NSEI:SHK Earnings and Revenue Growth as at Oct 2024

Orbbec (SHSE:688322)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Orbbec Inc. designs, manufactures, and sells 3D vision sensors with a market cap of CN¥12.69 billion.

Operations: Orbbec's revenue primarily comes from its operations in designing, manufacturing, and selling 3D vision sensors.

Insider Ownership: 36.5%

Revenue Growth Forecast: 38.2% p.a.

Orbbec has shown promising growth potential, with earnings projected to grow 120.96% annually and revenue expected to increase by 38.2% per year, surpassing the Chinese market average. Recent financial results for the nine months ended September 30, 2024, indicate a reduction in net loss to CNY 60.31 million from CNY 191.94 million a year ago, alongside sales growth to CNY 350.86 million from CNY 259.37 million previously reported.

SHSE:688322 Ownership Breakdown as at Oct 2024

Nexwise Intelligence China (SZSE:301248)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Nexwise Intelligence China Limited provides security and intelligent systems globally and has a market cap of CN¥2.38 billion.

Operations: Nexwise Intelligence China Limited's revenue segments include the provision of security and intelligent systems worldwide.

Insider Ownership: 35.9%

Revenue Growth Forecast: 14.2% p.a.

Nexwise Intelligence China is forecast to achieve profitability within three years, with earnings expected to grow 107.02% annually, outpacing the market. However, recent financials reveal a challenging period; for the nine months ending September 30, 2024, sales dropped to CNY 458.28 million from CNY 604.93 million year-on-year, and net loss was CNY 58.45 million compared to a profit of CNY 1.86 million previously reported.

SZSE:301248 Ownership Breakdown as at Oct 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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