Stock Analysis

3 Growth Companies With Insider Ownership As High As 39%

SZSE:300980
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As global markets navigate a mixed landscape with fluctuating consumer confidence and economic indicators, major stock indices have shown moderate gains, particularly driven by large-cap growth stocks. In such an environment, identifying growth companies with significant insider ownership can be crucial for investors seeking alignment between management interests and shareholder value.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Arctech Solar Holding (SHSE:688408)37.9%25.6%
SKS Technologies Group (ASX:SKS)29.7%24.8%
Propel Holdings (TSX:PRL)23.8%37.6%
CD Projekt (WSE:CDR)29.7%27%
Medley (TSE:4480)34%31.7%
Pharma Mar (BME:PHM)11.8%56.2%
EHang Holdings (NasdaqGM:EH)32.8%79.6%
Fine M-TecLTD (KOSDAQ:A441270)17.2%131.1%
Elliptic Laboratories (OB:ELABS)26.8%111.4%
Credo Technology Group Holding (NasdaqGS:CRDO)13.3%66.3%

Click here to see the full list of 1502 stocks from our Fast Growing Companies With High Insider Ownership screener.

Here we highlight a subset of our preferred stocks from the screener.

Sung Kwang BendLtd (KOSDAQ:A014620)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Sung Kwang Bend Co., Ltd. manufactures and sells pipe fittings globally, with a market cap of ₩622.47 billion.

Operations: The company's revenue primarily comes from its Machinery - Pumps segment, totaling ₩232.82 million.

Insider Ownership: 34.8%

Sung Kwang Bend Ltd. is trading significantly below its estimated fair value, suggesting potential undervaluation. The company's earnings are forecasted to grow substantially at 30.61% annually, outpacing the Korean market's growth rate. Recent share buybacks totaling KRW 19.94 billion indicate strong confidence from management, though insider trading activity has been minimal recently. Despite impressive earnings growth projections, revenue growth is expected to be moderate compared to higher benchmarks for rapid expansion companies.

KOSDAQ:A014620 Ownership Breakdown as at Jan 2025
KOSDAQ:A014620 Ownership Breakdown as at Jan 2025

Zhejiang Starry PharmaceuticalLtd (SHSE:603520)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Zhejiang Starry Pharmaceutical Co., Ltd. focuses on the research, development, production, and sale of X-CT non-ionic contrast agents and fluoroquinolones drugs and intermediates both in China and internationally, with a market cap of CN¥3.81 billion.

Operations: The company generates revenue from the production and sale of X-CT non-ionic contrast agents and fluoroquinolones drugs and intermediates, serving both domestic and international markets.

Insider Ownership: 25.9%

Zhejiang Starry Pharmaceutical Ltd. shows promising growth potential with forecasted annual earnings growth of 88.7%, significantly outpacing the Chinese market's 25.2%. Despite recent dilution, the company trades at a good value relative to peers and industry standards. However, its return on equity is projected to remain low at 13% in three years, and financial results have been impacted by large one-off items. The dividend yield of 1.13% is not well-supported by earnings or free cash flows.

SHSE:603520 Earnings and Revenue Growth as at Jan 2025
SHSE:603520 Earnings and Revenue Growth as at Jan 2025

Hubei Xiangyuan New Material Technology (SZSE:300980)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Hubei Xiangyuan New Material Technology Inc., with a market cap of CN¥3.09 billion, specializes in the development and production of advanced materials for various industrial applications.

Operations: The company generates revenue from its Rubber and Plastic Products segment, amounting to CN¥448.35 million.

Insider Ownership: 39.6%

Hubei Xiangyuan New Material Technology demonstrates growth potential with forecasted earnings expected to rise significantly at 43.5% annually, surpassing the Chinese market's average. Despite a recent decline in profit margins from 10.7% to 6.5% and shareholder dilution, revenue is anticipated to grow faster than the market at 17.1%. The company faces challenges such as low return on equity forecasts of 7.4% and high share price volatility but benefits from stable insider ownership without substantial recent selling activities.

SZSE:300980 Ownership Breakdown as at Jan 2025
SZSE:300980 Ownership Breakdown as at Jan 2025

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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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