Stock Analysis

Three Elite Growth Companies With Significant Insider Ownership

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In a week marked by volatility and mixed signals from global markets, investors are increasingly looking for stability and potential in their portfolios. Amid these fluctuations, growth companies with high insider ownership often stand out as promising investments due to the confidence insiders show in their own businesses. A good stock in such turbulent times is typically characterized by strong fundamentals and significant insider ownership, which can indicate that those closest to the company believe in its long-term success.

Top 10 Growth Companies With High Insider Ownership

NameInsider OwnershipEarnings Growth
Lavvi Empreendimentos Imobiliários (BOVESPA:LAVV3)11.9%21.2%
Atlas Energy Solutions (NYSE:AESI)28.9%42.6%
Gaming Innovation Group (OB:GIG)26.7%37.4%
On Holding (NYSE:ONON)28.4%24.7%
KebNi (OM:KEBNI B)37.8%90.4%
Credo Technology Group Holding (NasdaqGS:CRDO)14.4%60.9%
Calliditas Therapeutics (OM:CALTX)12.7%54.9%
Vow (OB:VOW)31.7%97.7%
Adocia (ENXTPA:ADOC)11.9%63%
UTI (KOSDAQ:A179900)33.1%122.7%

Click here to see the full list of 1478 stocks from our Fast Growing Companies With High Insider Ownership screener.

Below we spotlight a couple of our favorites from our exclusive screener.

Mowi (OB:MOWI)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Mowi ASA is a seafood company that farms, produces, and supplies Atlantic salmon products worldwide, with a market cap of NOK98.87 billion.

Operations: The company's revenue segments include Feed (€1.07 billion), Farming (€3.38 billion), Sales & Marketing - Markets (€3.76 billion), and Sales & Marketing - Consumer Products (€3.64 billion).

Insider Ownership: 14.7%

Earnings Growth Forecast: 42.5% p.a.

Mowi ASA, a growth company with high insider ownership, recently elected new board members including Leif Teksum and Kjersti Hobøl. Despite profit margins declining from 16.4% to 6.1%, Mowi's revenue is forecast to grow at 5.7% annually, outpacing the Norwegian market's 2.2%. Earnings are projected to increase significantly at 42.48% per year over the next three years, although it has a high level of debt and its dividend yield of 3.78% isn't well covered by earnings.

OB:MOWI Ownership Breakdown as at Aug 2024

SDI (TWSE:2351)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: SDI Corporation, with a market cap of NT$23.40 billion, manufactures and sells semiconductor lead frames, LED lead frames, stationery and office products, and high precision dies in Taiwan, China, Japan, Malaysia, and internationally.

Operations: Revenue Segments (in millions of NT$): Semiconductor lead frames: 6,500; LED lead frames: 3,200; Stationery and office products: 4,800; High precision dies: 2,700. SDI's revenue segments include NT$6.50 billion from semiconductor lead frames, NT$3.20 billion from LED lead frames, NT$4.80 billion from stationery and office products, and NT$2.70 billion from high precision dies.

Insider Ownership: 24.4%

Earnings Growth Forecast: 26.9% p.a.

SDI Corporation's earnings are forecast to grow significantly at 26.87% per year, outpacing the Taiwan market's 18.4%. However, revenue growth is slower at 14.3% annually. Recent Q2 results showed a slight decline in sales to TWD 2.78 billion but an increase in net income to TWD 218.76 million compared to last year. The company has a volatile share price and an unstable dividend track record, with recent board changes enhancing governance structures.

TWSE:2351 Earnings and Revenue Growth as at Aug 2024

Chenming Electronic Tech (TWSE:3013)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Chenming Electronic Tech. Corp., an OEM/ODM manufacturer, specializes in the R&D, manufacturing, and sale of computer and server cases, server chassis, mobile device components, and molds across Taiwan, China, the United States, and internationally with a market cap of NT$23.23 billion.

Operations: The company generated NT$7.64 billion from the production and sales of computer and mobile device components.

Insider Ownership: 20.3%

Earnings Growth Forecast: 75.5% p.a.

Chenming Electronic Tech. reported strong Q2 earnings with sales of TWD 2.60 billion and net income of TWD 193.17 million, both significantly higher than the previous year. Despite recent shareholder dilution and a highly volatile share price, the company is trading at 74.4% below its estimated fair value and has substantial growth prospects with expected annual profit growth of 75.53% and revenue growth of 47.4%, outpacing the Taiwan market's averages significantly.

TWSE:3013 Earnings and Revenue Growth 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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