Stock Analysis

3 Growth Companies On The Swedish Exchange With Strong Insider Ownership

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As the Swedish market navigates a period of economic adjustments, marked by recent interest rate cuts from the Riksbank, investors are increasingly turning their attention to growth companies with strong insider ownership. In this environment, stocks that combine potential for expansion with substantial insider commitment can offer an appealing blend of stability and growth potential.

Top 10 Growth Companies With High Insider Ownership In Sweden

NameInsider OwnershipEarnings Growth
CTT Systems (OM:CTT)16.9%24.8%
Truecaller (OM:TRUE B)29.6%21.6%
Fortnox (OM:FNOX)19.1%22.2%
Biovica International (OM:BIOVIC B)17.6%78.5%
Magle Chemoswed Holding (OM:MAGLE)14.9%72.2%
BioArctic (OM:BIOA B)34%98.4%
Yubico (OM:YUBICO)37.5%42.3%
KebNi (OM:KEBNI B)37.8%86.1%
InCoax Networks (OM:INCOAX)19.5%115.5%
OrganoClick (OM:ORGC)23.1%109.0%

Click here to see the full list of 89 stocks from our Fast Growing Swedish Companies With High Insider Ownership screener.

We'll examine a selection from our screener results.

Pandox (OM:PNDX B)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Pandox AB (publ) is a hotel property company that owns, develops, and leases hotel properties globally, with a market cap of SEK40.38 billion.

Operations: Pandox generates revenue through two main segments: Own operation, which contributes SEK3.27 billion, and Rental Agreement, accounting for SEK3.82 billion.

Insider Ownership: 10.3%

Pandox has demonstrated significant growth potential with earnings forecasted to grow 27% annually, outpacing the Swedish market. Despite recent insider selling, the company maintains high insider ownership, reflecting confidence in its strategic direction. Recent acquisitions, like the DoubleTree by Hilton Edinburgh City Centre for MGBP 49, align with its expansion strategy. However, challenges include lower profit margins and interest payments not well covered by earnings. A SEK 2 billion equity offering supports further growth initiatives.

OM:PNDX B Earnings and Revenue Growth as at Oct 2024

AB Sagax (OM:SAGA A)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: AB Sagax (publ) is a property company operating in Sweden, Finland, France, Benelux, Spain, Germany, and other European countries with a market cap of SEK104.30 billion.

Operations: The company generates revenue primarily through its Real Estate - Rental segment, which amounts to SEK4.63 billion.

Insider Ownership: 28.6%

AB Sagax is positioned for substantial growth, with earnings projected to increase by 29.1% annually, surpassing the Swedish market's average. Despite past shareholder dilution and debt not being well covered by operating cash flow, recent financial results show robust performance. For Q2 2024, sales reached SEK 1.20 billion and net income soared to SEK 978 million from SEK 53 million a year prior. The company anticipates profit from property management to hit SEK 4.30 billion in 2024.

OM:SAGA A Earnings and Revenue Growth as at Oct 2024

Sectra (OM:SECT B)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Sectra AB (publ) offers solutions in the medical IT and cybersecurity sectors across Sweden, the United Kingdom, the Netherlands, and other parts of Europe, with a market cap of SEK54.56 billion.

Operations: The company's revenue is primarily derived from Imaging IT Solutions, which accounts for SEK2.67 billion, followed by Secure Communications at SEK388.55 million and Business Innovation contributing SEK90.77 million.

Insider Ownership: 30.3%

Sectra AB shows promising growth potential, with earnings expected to rise significantly by 21.2% annually, outpacing the Swedish market's average. Recent Q1 results highlight this trend, as net income increased to SEK 80.4 million from SEK 61.56 million a year ago. Revenue grew to SEK 739.48 million from SEK 603.03 million previously, supported by successful cloud service implementations in Belgium that enhance operational efficiency and collaboration for clients like AZ Sint Lucas and AZ Sint Jan hospitals.

OM:SECT B Earnings and Revenue Growth as at Oct 2024

Key Takeaways

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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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