US Growth Companies With High Insider Ownership

As the U.S. stock market stabilizes after a tumultuous week, investors are closely monitoring upcoming economic data releases that could influence future trading trends. In such an environment, growth companies with high insider ownership often attract attention due to the confidence their executives and stakeholders have in their long-term potential. High insider ownership can be a positive indicator for investors, suggesting that those who know the company best are committed to its success. This article will explore three U.S.-based growth companies where insiders hold significant stakes, highlighting why these stocks may be worth watching amid current market conditions.

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%
PDD Holdings (NasdaqGS:PDD)	32.1%	21.8%
GigaCloud Technology (NasdaqGM:GCT)	25.7%	24.1%
Hims & Hers Health (NYSE:HIMS)	13.7%	40.9%
Duolingo (NasdaqGS:DUOL)	14.9%	42.5%
Super Micro Computer (NasdaqGS:SMCI)	14.3%	31.3%
Credo Technology Group Holding (NasdaqGS:CRDO)	14.4%	60.9%
Carlyle Group (NasdaqGS:CG)	29.5%	22.8%
EHang Holdings (NasdaqGM:EH)	32.8%	74.3%
BBB Foods (NYSE:TBBB)	22.9%	70.7%

Click here to see the full list of 174 stocks from our Fast Growing US Companies With High Insider Ownership screener.

Let's review some notable picks from our screened stocks.

CarGurus (NasdaqGS:CARG)

Simply Wall St Growth Rating: ★★★★★☆

Overview: CarGurus, Inc. operates an online automotive platform for buying and selling vehicles in the United States and internationally, with a market cap of approximately $2.78 billion.

Operations: The company's revenue segments include $686.26 million from the U.S. Marketplace and $134.48 million from Digital Wholesale.

Insider Ownership: 16.8%

Earnings Growth Forecast: 47.8% p.a.

CarGurus, Inc. has experienced significant insider selling over the past three months, which may raise concerns for some investors. Despite this, the company is trading at 66.4% below its estimated fair value and is expected to achieve revenue growth of 12.9% per year, outpacing the US market's average. Additionally, CarGurus is forecasted to become profitable within three years with a high return on equity projected at 29.7%. Recent earnings reported a net loss but showed an increase in sales compared to last year.

• Take a closer look at CarGurus' potential here in our earnings growth report.
• Our expertly prepared valuation report CarGurus implies its share price may be too high.

Credo Technology Group Holding (NasdaqGS:CRDO)

Simply Wall St Growth Rating: ★★★★★★

Overview: Credo Technology Group Holding Ltd, with a market cap of $4.54 billion, provides high-speed connectivity solutions for optical and electrical Ethernet applications across the United States, Taiwan, Mainland China, Hong Kong, and internationally.

Operations: The company's revenue segment is primarily derived from its semiconductor business, which generated $192.97 million.

Insider Ownership: 14.4%

Earnings Growth Forecast: 60.9% p.a.

Credo Technology Group Holding has seen substantial insider buying over the past three months, indicating strong internal confidence. Despite recent earnings showing a net loss of US$28.37 million for the full year ending April 27, 2024, revenue grew to US$192.97 million from US$184.19 million the previous year. The company’s revenue is forecasted to grow at 30.6% annually, significantly outpacing the market average, and it is expected to become profitable within three years with high return on equity projections.

• Dive into the specifics of Credo Technology Group Holding here with our thorough growth forecast report.
• Our valuation report unveils the possibility Credo Technology Group Holding's shares may be trading at a premium.

Jefferies Financial Group (NYSE:JEF)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Jefferies Financial Group Inc. is an investment banking and capital markets firm operating across the Americas, Europe, the Middle East, and the Asia-Pacific with a market cap of approximately $11.35 billion.

Operations: The company's revenue segments include $580.70 million from Asset Management and $5.17 billion from Investment Banking and Capital Markets.

Insider Ownership: 21.3%

Earnings Growth Forecast: 33.9% p.a.

Jefferies Financial Group has high insider ownership and is projected to grow earnings by 33.88% annually, outpacing the US market. Despite a forecasted low return on equity of 9.8% in three years, revenue is expected to increase by 14.7% per year, faster than the market average. Recent strategic moves include appointing SMFG's CEO to its board and multiple fixed-income offerings totaling over $100 million, reflecting robust growth initiatives and financial health.

• Click here to discover the nuances of Jefferies Financial Group with our detailed analytical future growth report.
• Our valuation report here indicates Jefferies Financial Group may be overvalued.

Next Steps

• Embark on your investment journey to our 174 Fast Growing US Companies With High Insider Ownership selection here.
• Have a stake in these businesses? Integrate your holdings into Simply Wall St's portfolio for notifications and detailed stock reports.
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Seeking Other Investments?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
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• 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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