3 US Growth Companies With High Insider Ownership Expecting Up To 111% Earnings Growth

As the U.S. stock market experiences a downturn with major indices like the S&P 500 and Nasdaq Composite falling, investors are closely monitoring earnings reports from key companies such as Nvidia. Amidst this volatile environment, identifying growth companies with high insider ownership can be particularly appealing, as it often signals strong confidence from those who know the business best.

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

Name	Insider Ownership	Earnings Growth
Atour Lifestyle Holdings (NasdaqGS:ATAT)	26%	21.6%
GigaCloud Technology (NasdaqGM:GCT)	25.7%	24.3%
Atlas Energy Solutions (NYSE:AESI)	29.1%	42.7%
Victory Capital Holdings (NasdaqGS:VCTR)	12%	32.3%
Hims & Hers Health (NYSE:HIMS)	13.7%	40.7%
On Holding (NYSE:ONON)	28.4%	24.4%
Credo Technology Group Holding (NasdaqGS:CRDO)	14.3%	60.9%
BBB Foods (NYSE:TBBB)	22.9%	66.5%
Carlyle Group (NasdaqGS:CG)	29.5%	22%
EHang Holdings (NasdaqGM:EH)	32.8%	78.8%

Click here to see the full list of 176 stocks from our Fast Growing US Companies With High Insider Ownership screener.

Let's explore several standout options from the results in the screener.

Youdao (NYSE:DAO)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Youdao, Inc., an internet technology company with a market cap of $384.85 million, provides online services in content, community, communication, and commerce in China.

Operations: Revenue segments (in millions of CN¥): Smart Devices: 822.21, Learning Services: 3096.53, Online Marketing Services: 1814.15

Insider Ownership: 20.3%

Earnings Growth Forecast: 111.2% p.a.

Youdao's revenue is forecast to grow at 12.6% annually, outpacing the US market's 8.8%. The company is expected to become profitable within three years, demonstrating strong annual earnings growth of 111.19%. Trading at a significant discount to its estimated fair value, Youdao has recently launched innovative AI-driven educational tools like the Youdao Dictionary Pen X7. Despite negative shareholders' equity, these factors position Youdao as a promising growth company with high insider ownership in the US market.

• Unlock comprehensive insights into our analysis of Youdao stock in this growth report.
• According our valuation report, there's an indication that Youdao's share price might be on the cheaper side.

On Holding (NYSE:ONON)

Simply Wall St Growth Rating: ★★★★★★

Overview: On Holding AG develops and distributes sports products globally, with a market cap of $14.69 billion.

Operations: The company generates revenue primarily from its athletic footwear segment, which amounted to CHF 2.00 billion.

Insider Ownership: 28.4%

Earnings Growth Forecast: 24.4% p.a.

On Holding's earnings are forecast to grow 24.4% annually, with revenue expected to increase by 20.1% per year, outpacing the US market. The company recently reiterated its full-year guidance, projecting a constant currency growth rate of at least 30%, corresponding to net sales of CHF 2.26 billion (US$2.51 billion). For Q2 2024, On Holding reported sales of CHF 567.7 million (US$630 million) and net income of CHF 30.8 million (US$34 million), reflecting strong financial performance and high insider ownership in the US market.

• Delve into the full analysis future growth report here for a deeper understanding of On Holding.
• Insights from our recent valuation report point to the potential overvaluation of On Holding shares in the market.

Spotify Technology (NYSE:SPOT)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Spotify Technology S.A., with a market cap of $67.49 billion, offers global audio streaming subscription services through its subsidiaries.

Operations: Spotify's revenue is derived from two main segments: Premium subscriptions, which generated €12.68 billion, and Ad-Supported services, contributing €1.79 billion.

Insider Ownership: 17.8%

Earnings Growth Forecast: 29.6% p.a.

Spotify Technology's earnings are forecast to grow 29.6% annually, with revenue expected to increase by 12.4% per year, outpacing the US market. The company became profitable this year, reporting Q2 2024 sales of €3.81 billion (US$4.13 billion) and net income of €274 million (US$297 million). Recent announcements include Cineverse Corp.'s video content distribution on Spotify, highlighting its expanding platform capabilities and potential for further growth in user engagement and revenue streams.

• Navigate through the intricacies of Spotify Technology with our comprehensive analyst estimates report here.
• Our expertly prepared valuation report Spotify Technology implies its share price may be too high.

Taking Advantage

• Discover the full array of 176 Fast Growing US Companies With High Insider Ownership right here.
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Looking For Alternative Opportunities?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
• Find companies with promising cash flow potential yet trading below their fair value.

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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