Stock Analysis

3 US Growth Stocks With High Insider Ownership Growing Earnings At 67%

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As major U.S. stock indexes experience fluctuations, with the Dow Jones and S&P 500 moving lower amid a wave of earnings reports, investors are closely watching for signs of economic stability and potential interest rate cuts by the Federal Reserve. In this environment, growth companies with high insider ownership can be attractive due to their potential for strong alignment between management and shareholder interests, which may contribute to continued earnings growth even amidst market volatility.

Top 10 Growth Companies With High Insider Ownership In The United States

NameInsider OwnershipEarnings Growth
Atlas Energy Solutions (NYSE:AESI)29.1%41.9%
GigaCloud Technology (NasdaqGM:GCT)25.6%26%
Atour Lifestyle Holdings (NasdaqGS:ATAT)26%23.4%
Victory Capital Holdings (NasdaqGS:VCTR)10.2%33.3%
Super Micro Computer (NasdaqGS:SMCI)25.7%28.0%
Hims & Hers Health (NYSE:HIMS)13.7%37.4%
Credo Technology Group Holding (NasdaqGS:CRDO)13.9%95%
EHang Holdings (NasdaqGM:EH)32.8%81.4%
Carlyle Group (NasdaqGS:CG)29.5%22%
BBB Foods (NYSE:TBBB)22.9%51.2%

Click here to see the full list of 181 stocks from our Fast Growing US Companies With High Insider Ownership screener.

Let's uncover some gems from our specialized screener.

Daqo New Energy (NYSE:DQ)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Daqo New Energy Corp. manufactures and sells polysilicon to photovoltaic product manufacturers in China, with a market cap of approximately $1.25 billion.

Operations: The company's revenue is derived entirely from its polysilicon segment, totaling $1.60 billion.

Insider Ownership: 22.2%

Earnings Growth Forecast: 67.5% p.a.

Daqo New Energy, despite a volatile share price and recent financial challenges, is trading at a significant discount to its estimated fair value. The company has initiated a US$100 million share repurchase program, potentially signaling confidence in its future prospects. While recent earnings showed a net loss of US$119.78 million for Q2 2024, revenue growth is expected at 14.8% annually, outpacing the broader U.S. market's growth rate of 8.8%.

NYSE:DQ Earnings and Revenue Growth as at Oct 2024

Franklin Covey (NYSE:FC)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Franklin Covey Co. offers training and consulting services focused on execution, sales performance, productivity, customer loyalty, and educational improvement globally, with a market cap of $536.61 million.

Operations: The company's revenue segments include $73.51 million from the Education Practice, $4.80 million from Corporate and Eliminations, $191.34 million from Enterprise Division - Direct Offices, and $11.42 million from Enterprise Division - International Licensees.

Insider Ownership: 16.3%

Earnings Growth Forecast: 30.2% p.a.

Franklin Covey's earnings are projected to grow at 30.23% annually, outpacing the US market's growth rate of 15.2%. Revenue is also expected to increase faster than the market at 10.7% per year. The stock trades significantly below its estimated fair value, suggesting potential undervaluation. Recent events highlight a focus on leadership and AI-driven innovation in corporate training, which may drive future growth opportunities despite no substantial insider trading activity reported recently.

NYSE:FC Earnings and Revenue Growth as at Oct 2024

Vitesse Energy (NYSE:VTS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Vitesse Energy, Inc. focuses on acquiring, developing, and producing non-operated oil and natural gas properties in the United States with a market capitalization of approximately $737.62 million.

Operations: The company's revenue is primarily derived from its oil and gas exploration and production segment, which generated $251.10 million.

Insider Ownership: 15.9%

Earnings Growth Forecast: 35.2% p.a.

Vitesse Energy shows strong growth potential with earnings forecasted to increase by 35.18% annually, surpassing the US market average of 15.2%. Despite trading at a significant discount to its estimated fair value, insider buying has been substantial recently, indicating confidence in future prospects. The company reported increased revenue and net income for Q2 2024 compared to the previous year and reaffirmed its production guidance, although its high dividend isn't fully covered by earnings or cash flows.

NYSE:VTS Ownership Breakdown as at Oct 2024

Summing It All Up

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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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