In This Article:
- The current market environment, fueled by optimism around economic growth and tax reforms, highlights the importance of identifying growth companies with high insider ownership, which can drive long-term value creation.
- A list of top growth companies with high insider ownership has been compiled, featuring companies such as Archean Chemical Industries, Kirloskar Pneumatic, and Laopu Gold, among others.
- Three companies, Nazara Technologies, Vimian Group, and Ficont Industry (Beijing), are spotlighted as favorites, with significant earnings growth forecasted, but also presenting challenges and opportunities for investors.
- These companies demonstrate promising growth potential, with some trading at a discount to their estimated fair value, making them worth considering for investors focused on insider ownership dynamics.
In November 2024, global markets are experiencing a notable upswing, with U.S. indices reaching record highs following the Republican "red sweep" in the elections, which has fueled optimism around potential economic growth and tax reforms. This environment of heightened investor confidence underscores the importance of identifying growth companies where high insider ownership aligns interests and could potentially drive long-term value creation.
Top 10 Growth Companies With High Insider Ownership
Name | Insider Ownership | Earnings Growth |
Archean Chemical Industries (NSEI:ACI) | 22.9% | 45.4% |
Kirloskar Pneumatic (BSE:505283) | 30.3% | 26.3% |
Laopu Gold (SEHK:6181) | 36.4% | 33.9% |
Medley (TSE:4480) | 34% | 30.4% |
Pharma Mar (BME:PHM) | 11.8% | 56.4% |
Findi (ASX:FND) | 34.8% | 64.8% |
Credo Technology Group Holding (NasdaqGS:CRDO) | 13.9% | 95% |
Alkami Technology (NasdaqGS:ALKT) | 11.2% | 98.6% |
EHang Holdings (NasdaqGM:EH) | 32.8% | 81.4% |
UTI (KOSDAQ:A179900) | 33.1% | 134.6% |
Below we spotlight a couple of our favorites from our exclusive screener.
Nazara Technologies
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Nazara Technologies Limited, along with its subsidiaries, operates a gaming and sports media platform across India, Africa, the Middle East, the Asia Pacific, the United States, and other international markets with a market cap of ?67.51 billion.
Operations: The company's revenue is derived from three main segments: Gaming (?3.90 billion), E-Sports (?6.46 billion), and AD Tech Business (?1.02 billion).
Insider Ownership: 22.1%
Nazara Technologies is experiencing significant earnings growth, forecasted at 24.9% annually, outpacing the Indian market. Despite this, its return on equity is projected to be low in three years. Recent board changes and a substantial private placement raising INR 9 billion indicate strategic shifts and potential dilution concerns. The company's revenue growth of 17.9% surpasses the market average but remains below high-growth benchmarks, highlighting both opportunities and challenges for investors focused on insider ownership dynamics.
Vimian Group
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Vimian Group AB (publ) operates in the global animal health industry and has a market capitalization of SEK22.03 billion.
Operations: The company generates revenue from four main segments: Medtech (€112.75 million), Diagnostics (€20.32 million), Specialty Pharma (€163.45 million), and Veterinary Services (€56.11 million).