Stock Analysis

Swedish Exchange Growth Companies With High Insider Ownership

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As global markets respond to China's robust stimulus measures, European indices have shown significant gains, with Sweden's Riksbank cutting interest rates to bolster economic activity. Amid this backdrop, investors are increasingly looking at growth companies with high insider ownership as potential opportunities for strong alignment of interests and long-term performance. In this article, we will explore three Swedish growth companies that boast substantial insider ownership, offering insights into their market positions and potential for future success.

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)21.1%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 93 stocks from our Fast Growing Swedish Companies With High Insider Ownership screener.

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

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 SEK20.44 billion.

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

Insider Ownership: 12.6%

HMS Networks, a Swedish growth company with high insider ownership, has seen more insider buying than selling in the past three months. Despite having a high level of debt and recent shareholder dilution, HMS is trading at 24.6% below its estimated fair value. Earnings are forecast to grow significantly at 28.4% per year, outpacing the Swedish market's 15.1%. However, profit margins have declined from 20.1% to 14%, reflecting challenges despite revenue and earnings growth forecasts.

OM:HMS Earnings and Revenue Growth as at Sep 2024

NIBE Industrier (OM:NIBE B)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: NIBE Industrier AB (publ) develops, manufactures, markets, and sells energy-efficient solutions for indoor climate comfort and intelligent heating and control components internationally, with a market cap of SEK 113.26 billion.

Operations: NIBE Industrier AB (publ) generates revenue from three primary segments: SEK 35.22 billion from Climate Solutions, SEK 13.48 billion from Element, and SEK 5.33 billion from Stoves.

Insider Ownership: 20.2%

NIBE Industrier, with substantial insider ownership, faces mixed financial performance. Recent earnings reports show a decline in sales and net income compared to last year, with Q2 2024 sales at SEK 10.04 billion and net income at SEK 219 million. Despite this, the company’s earnings are forecast to grow significantly at 42.55% per year over the next three years, outpacing the Swedish market's growth rate of 15.1%. However, profit margins have decreased from 11.2% to 3.6%, and interest payments are not well covered by earnings.

OM:NIBE B Ownership Breakdown as at Sep 2024

Nivika Fastigheter (OM:NIVI B)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Nivika Fastigheter AB (publ) owns, manages, and develops residential and commercial properties in Sweden with a market cap of SEK 4.34 billion.

Operations: Nivika Fastigheter AB (publ) generates revenue primarily from real estate rentals, amounting to SEK 655.07 million.

Insider Ownership: 10.4%

Nivika Fastigheter, a growth company with high insider ownership, reported strong financial performance for the third quarter of 2024, with net income rising to SEK 47.55 million from SEK 16.14 million a year ago. Despite modest insider buying and recent shareholder dilution, the company's earnings are forecast to grow significantly at 55.03% per year over the next three years, outpacing Swedish market revenue growth of 0.9% per year. However, interest payments remain poorly covered by earnings.

OM:NIVI B Ownership Breakdown as at Sep 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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