Stock Analysis

3 Swedish Growth Stocks With High Insider Ownership And 56% Earnings Growth

OM:HMS
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As global markets continue to navigate mixed economic signals and varied earnings reports, Sweden's stock market has shown resilience, reflecting broader trends in Europe. Amidst this backdrop, identifying growth companies with high insider ownership can be a strategic approach for investors seeking to align with management interests and capitalize on potential earnings growth.

Top 10 Growth Companies With High Insider Ownership In Sweden

NameInsider OwnershipEarnings Growth
CTT Systems (OM:CTT)16.9%24.8%
Magle Chemoswed Holding (OM:MAGLE)14.9%72.2%
Biovica International (OM:BIOVIC B)18.7%73.8%
BioArctic (OM:BIOA B)34%103.4%
InCoax Networks (OM:INCOAX)18.1%104.9%
KebNi (OM:KEBNI B)37.8%90.4%
Yubico (OM:YUBICO)37.5%43.8%
Calliditas Therapeutics (OM:CALTX)11.6%52.9%
SaveLend Group (OM:YIELD)23.3%103.4%
edyoutec (NGM:EDYOU)14.6%63.1%

Click here to see the full list of 91 stocks from our Fast Growing Swedish Companies With High Insider Ownership screener.

Underneath we present a selection of stocks filtered out by our screen.

EQT (OM:EQT)

Simply Wall St Growth Rating: ★★★★★☆

Overview: EQT AB (publ) is a global private equity firm specializing in private capital and real asset segments, with a market cap of SEK403.24 billion.

Operations: The company's revenue segments include €37.20 million from Central, €878.70 million from Real Assets, and €1.28 billion from Private Capital.

Insider Ownership: 31%

Earnings Growth Forecast: 56.7% p.a.

EQT AB, a prominent private equity firm in Sweden, has shown significant growth potential and high insider ownership. Recently, EQT announced a share repurchase program authorized to buy back up to 63.93 million shares, enhancing shareholder value and adjusting capital structure. The company reported strong earnings for H1 2024 with revenue of €1.23 billion and net income of €282 million. Additionally, EQT is actively involved in high-profile M&A activities including potential acquisitions of Lighthouse Learnings and BSV Group, indicating robust expansion strategies.

OM:EQT Ownership Breakdown as at Jul 2024
OM:EQT Ownership Breakdown as at Jul 2024

Fortnox (OM:FNOX)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Fortnox AB (publ) offers financial and administrative software solutions for small and medium-sized businesses, accounting firms, and organizations, with a market cap of SEK40.60 billion.

Operations: Revenue segments (in millions of SEK): Businesses: 378, Marketplaces: 160, Core Products: 734, Accounting Firms: 352, Financial Services: 249. Fortnox's revenue is derived from businesses (SEK378M), marketplaces (SEK160M), core products (SEK734M), accounting firms (SEK352M), and financial services (SEK249M).

Insider Ownership: 21%

Earnings Growth Forecast: 22.6% p.a.

Fortnox, a Swedish growth company with high insider ownership, reported robust earnings for Q2 2024 with sales of SEK 515 million and net income of SEK 164 million. The company's earnings are forecast to grow significantly at 22.6% per year, outpacing the Swedish market's average. Despite trading below its estimated fair value by 13%, Fortnox has not seen substantial insider buying recently. Revenue is expected to grow at a solid rate of 19.8% annually over the next three years.

OM:FNOX Earnings and Revenue Growth as at Jul 2024
OM:FNOX Earnings and Revenue Growth as at Jul 2024

HMS Networks (OM:HMS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: HMS Networks AB (publ) provides products that enable industrial equipment to communicate and share information globally, with a market cap of SEK20.54 billion.

Operations: HMS Networks AB (publ) generates SEK3.01 billion from its Wireless Communications Equipment segment.

Insider Ownership: 12.6%

Earnings Growth Forecast: 26.3% p.a.

HMS Networks, with substantial insider ownership, reported Q2 2024 sales of SEK 845 million, up from SEK 703 million a year ago. However, net income dropped to SEK 34 million from SEK 116 million. Despite the decline in profit margins and recent shareholder dilution, HMS's earnings are forecast to grow significantly at over 26% per year. Insiders have been buying more shares than selling recently, indicating confidence in future growth prospects.

OM:HMS Ownership Breakdown as at Jul 2024
OM:HMS Ownership Breakdown as at Jul 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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