The United Kingdom's FTSE 100 index has recently faced headwinds, closing lower due to weak trade data from China and concerns over the global economic recovery. In this challenging market environment, growth companies with high insider ownership can offer a unique investment perspective as insiders' confidence in their businesses often signals potential resilience and long-term growth.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: Franchise Brands plc, with a market cap of £278.91 million, operates through its subsidiaries to engage in franchising and related activities across the United Kingdom, North America, and Europe.
Operations: The company's revenue segments include Azura (£0.81 million), Pirtek (£60.78 million), B2C Division (£5.95 million), Filta International (£25.64 million), and Water & Waste Services (£49.17 million).
Insider Ownership: 22.9%
Franchise Brands reported strong half-year results ending June 30, 2024, with sales rising to £69.8 million from £51.88 million and net income reaching £3.62 million compared to a net loss of £0.542 million last year. Despite substantial insider selling over the past three months, the company has high insider ownership and forecasts significant annual earnings growth of 44.22%. Analysts agree on a potential stock price rise by 123%, indicating strong future prospects despite slower revenue growth at 9.5% per year.
Overview: Mortgage Advice Bureau (Holdings) plc, with a market cap of £384.83 million, offers mortgage advice services across the United Kingdom through its subsidiaries.
Operations: The company generates £243.31 million from the provision of financial services in the UK.
Insider Ownership: 19.8%
Mortgage Advice Bureau (Holdings) plc, a growth company with high insider ownership in the UK, is forecasted to see earnings grow significantly at 29.6% per year, outpacing the UK market. Despite a volatile share price and recent half-year net income drop to £3.7 million from £6.42 million last year, insiders have been buying more shares than selling over the past three months. Revenue is expected to grow 15.3% annually, faster than the market's 3.8%.
Overview: TBC Bank Group PLC, with a market cap of £1.42 billion, offers banking, leasing, insurance, brokerage, and card processing services to corporate and individual customers in Georgia, Azerbaijan, and Uzbekistan through its subsidiaries.
Operations: The company's revenue segments include GEL 2.13 billion from segment adjustments and GEL 236.42 million from Uzbekistan operations.
Insider Ownership: 17.6%
TBC Bank Group, with substantial insider ownership, is forecasted to grow earnings at 15.3% annually, slightly above the UK market's 14.3%. Despite a low allowance for bad loans (76%) and past shareholder dilution, it trades at good value compared to peers. Recent earnings reports show net interest income of GEL 862.2 million and net income of GEL 617.4 million for H1 2024. The company also declared an interim dividend of GEL 2.55 per share payable in November 2024.
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.
Companies discussed in this article include AIM:FRAN AIM:MAB1 and LSE:TBCG.
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