Stock Analysis

Spotlight On 3 Leading Growth Companies With High Insider Ownership

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In a week marked by market volatility and concerns over economic growth, investors are seeking stability and potential upside in their portfolios. Amid these fluctuations, growth companies with high insider ownership can offer unique advantages, as they often indicate strong confidence from those who know the business best. In this article, we spotlight three leading growth companies where significant insider ownership aligns with robust business prospects, making them compelling considerations for discerning investors navigating today's uncertain market landscape.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Lavvi Empreendimentos Imobiliários (BOVESPA:LAVV3)11.9%21.2%
Gaming Innovation Group (OB:GIG)26.7%37.4%
KebNi (OM:KEBNI B)37.8%90.4%
Fine M-TecLTD (KOSDAQ:A441270)17.2%36.4%
Global Tax Free (KOSDAQ:A204620)18.1%90.6%
Credo Technology Group Holding (NasdaqGS:CRDO)14.4%60.9%
Calliditas Therapeutics (OM:CALTX)12.7%53.7%
Adocia (ENXTPA:ADOC)11.9%63%
Vow (OB:VOW)31.7%97.7%
UTI (KOSDAQ:A179900)33.1%122.7%

Click here to see the full list of 1475 stocks from our Fast Growing Companies With High Insider Ownership screener.

Here's a peek at a few of the choices from the screener.

Haci Ömer Sabanci Holding (IBSE:SAHOL)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Haci Ömer Sabanci Holding A.S. operates primarily in the finance, manufacturing, and trading sectors worldwide, with a market cap of TRY192.60 billion.

Operations: The company's revenue segments include Energy (TRY192.32 billion), Banking (TRY388.31 billion), Digital (TRY52.76 billion), Industry (TRY49.50 billion), Financial Services (TRY44.67 billion), and Construction Materials (TRY41.53 billion).

Insider Ownership: 20.5%

Earnings Growth Forecast: 83.8% p.a.

Haci Ömer Sabanci Holding exhibits strong growth potential, with revenue forecasted to grow 68.6% annually and earnings expected to increase significantly by 83.77% per year, outpacing the Turkish market. Despite a recent net loss of TRY 5.37 billion in Q1 2024, the company's price-to-earnings ratio (15.5x) remains attractive compared to the TR market (16.3x). However, shareholders have faced dilution over the past year and profit margins have declined from 11.9% to 6.8%.

IBSE:SAHOL Earnings and Revenue Growth as at Aug 2024

V.S. Industry Berhad (KLSE:VS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: V.S. Industry Berhad is an investment holding company involved in manufacturing, assembling, and selling electronic and electrical products as well as plastic molded components, with a market cap of MYR4.37 billion.

Operations: Revenue segments (in millions of MYR): China: 41.35, Malaysia: 3834.98, Indonesia: 322.48, Singapore: 900.14

Insider Ownership: 27.9%

Earnings Growth Forecast: 24.7% p.a.

V.S. Industry Berhad demonstrates strong growth potential with earnings forecasted to grow 24.65% annually, outpacing the Malaysian market's 12.2%. Despite slower revenue growth at 13.3%, it remains above the market average of 6.2%. The company reported a notable increase in net income for Q3 2024 (MYR 54.42 million vs MYR 26.77 million YoY). Trading at a price-to-earnings ratio of 26.6x, below the industry average, it offers good relative value despite an unstable dividend track record and low forecasted return on equity (11.6%).

KLSE:VS Earnings and Revenue Growth as at Aug 2024

Will Semiconductor (SHSE:603501)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Will Semiconductor Co., Ltd., with a market cap of CN¥111.82 billion, is a semiconductor design company that provides sensor solutions, analog solutions, and touch screen and display solutions.

Operations: The company's revenue segments include sensor solutions, analog solutions, and touch screen and display solutions.

Insider Ownership: 30.7%

Earnings Growth Forecast: 47.8% p.a.

Will Semiconductor shows strong growth prospects with earnings forecasted to grow 47.8% annually, significantly outpacing the Chinese market's 22%. Revenue is expected to grow at 17.8% per year, faster than the market average of 13.5%. Despite a low forecasted return on equity (16.7%), recent earnings grew by an impressive 212.2%. Analysts predict a stock price increase of approximately 40%, reflecting positive sentiment despite no substantial insider trading activity in the past three months.

SHSE:603501 Ownership Breakdown as at Aug 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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