Stock Analysis

KRX Growth Companies With High Insider Ownership And Up To 80% Revenue Growth

KOSDAQ:A051360
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In the past year, South Korea's stock market has shown modest growth with a 5.2% increase, while recent weekly movements have remained flat. In this context, stocks from growth companies with high insider ownership and significant revenue expansion up to 80% stand out as potentially strong performers in an environment where earnings are expected to grow by 29% annually.

Top 10 Growth Companies With High Insider Ownership In South Korea

NameInsider OwnershipEarnings Growth
ALTEOGEN (KOSDAQ:A196170)26.6%73.1%
Fine M-TecLTD (KOSDAQ:A441270)17.3%36.4%
Global Tax Free (KOSDAQ:A204620)18.1%72.4%
HANA Micron (KOSDAQ:A067310)20%93.4%
Park Systems (KOSDAQ:A140860)33.1%35.9%
UTI (KOSDAQ:A179900)34.1%122.7%
Seojin SystemLtd (KOSDAQ:A178320)26.4%48.1%
Devsisters (KOSDAQ:A194480)26.7%67.5%
INTEKPLUS (KOSDAQ:A064290)16.3%77.4%
Techwing (KOSDAQ:A089030)18.7%118.2%

Click here to see the full list of 85 stocks from our Fast Growing KRX Companies With High Insider Ownership screener.

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

TOVISLtd (KOSDAQ:A051360)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: TOVIS Co., Ltd specializes in providing display solutions both domestically in South Korea and internationally, with a market capitalization of approximately ₩349.74 billion.

Operations: The company generates revenue from display solutions, catering to both domestic and international markets.

Insider Ownership: 16.2%

Revenue Growth Forecast: 19.4% p.a.

TOVIS Ltd., a South Korean company, has shown a robust financial performance with significant earnings growth and higher-than-market revenue increase expectations. Despite recent slight dips in quarterly sales, net income surged due to operational efficiencies. The company's strategic share buybacks reflect confidence from management, aligning with interests of high insider ownership. However, challenges include debt not well-covered by operating cash flow and a forecasted low return on equity in the coming years. Trading significantly below estimated fair value suggests potential undervaluation.

KOSDAQ:A051360 Earnings and Revenue Growth as at Jun 2024
KOSDAQ:A051360 Earnings and Revenue Growth as at Jun 2024

Genomictree (KOSDAQ:A228760)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Genomictree Inc. is a South Korean biomarker-based molecular diagnostics company focused on developing and commercializing products for detecting cancer and various infectious diseases, with a market capitalization of approximately ₩521.61 billion.

Operations: The company generates revenue primarily from two segments: Cancer Molecular Diagnosis Business at ₩1.86 billion and Genomic Analysis and Other Business at ₩0.68 billion.

Insider Ownership: 16.2%

Revenue Growth Forecast: 81% p.a.

Genomictree, despite its modest revenue of ₩3B, is poised for substantial growth with earnings expected to increase significantly. The company's stock price has been volatile recently, but it trades at 38.1% below its estimated fair value, indicating potential undervaluation. Forecasted annual revenue growth at 81% surpasses the Korean market average significantly. However, challenges include shareholder dilution over the past year and a low projected return on equity of 3.7%. Genomictree is anticipated to reach profitability within three years, outpacing average market growth predictions.

KOSDAQ:A228760 Earnings and Revenue Growth as at Jun 2024
KOSDAQ:A228760 Earnings and Revenue Growth as at Jun 2024

Lotte Tour Development (KOSE:A032350)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Lotte Tour Development Co., Ltd. operates in the travel and tourism industry in South Korea, with a market capitalization of approximately ₩736.06 billion.

Operations: The company generates its revenue primarily from travel and tourism services.

Insider Ownership: 29.5%

Revenue Growth Forecast: 16.8% p.a.

Lotte Tour Development is set to grow its revenue by 16.8% annually, outpacing the South Korean market's 10.5% growth rate. While the company is trading at a significant discount of 38.6% below its fair value, it faces challenges such as shareholder dilution over the past year and a low projected return on equity of 4.2%. Despite these issues, earnings are expected to surge by an impressive rate annually, with profitability forecast within three years, signaling robust potential ahead.

KOSE:A032350 Earnings and Revenue Growth as at Jun 2024
KOSE:A032350 Earnings and Revenue Growth as at Jun 2024

Where To Now?

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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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