As the U.S. stock market experiences a surge, led by a rally in the tech sector amidst anticipation of presidential election results, investors are keenly observing growth companies with substantial insider ownership. In such an environment, stocks that combine robust growth potential with high insider stakes can offer unique insights into confidence levels within their leadership teams and alignment with shareholder interests.
Top 10 Growth Companies With High Insider Ownership In The United States
Overview: Corcept Therapeutics Incorporated is involved in the discovery and development of drugs for treating severe endocrinologic, oncologic, metabolic, and neurologic disorders in the United States, with a market cap of approximately $5.25 billion.
Operations: The company's revenue is primarily derived from the discovery, development, and commercialization of pharmaceutical products, amounting to $628.55 million.
Insider Ownership: 11.6%
Corcept Therapeutics shows promising growth potential, with earnings forecasted to grow significantly at 41% annually, outpacing the US market. Recent earnings for Q3 2024 reported a net income of US$47.21 million, up from US$31.38 million the previous year. The company raised its revenue guidance for 2024 to between US$675 million and US$700 million. Despite limited substantial insider buying recently, shares are trading significantly below estimated fair value, suggesting possible undervaluation opportunities.
Overview: Root, Inc. operates in the United States offering insurance products and services, with a market capitalization of approximately $1.07 billion.
Operations: The company's revenue primarily stems from its insurance products, generating $1.04 billion.
Insider Ownership: 20.5%
Root, Inc. is experiencing robust growth with earnings forecasted to increase significantly at 119.49% annually, and revenue expected to grow faster than the US market at 11.5% per year. Recent Q3 2024 results showed a substantial revenue jump from US$115.3 million to US$305.7 million, turning a net loss into a profit of US$21.7 million year-over-year. The company also successfully refinanced its debt, reducing interest expenses by approximately 50%, enhancing financial flexibility for strategic growth initiatives.
Overview: Ameresco, Inc. is a clean technology integrator offering energy efficiency and renewable energy solutions across the United States, Canada, Europe, and internationally with a market cap of approximately $1.75 billion.
Operations: The company's revenue segments include $207.40 million from Europe, $410.94 million from U.S. Federal projects, and $137.13 million from Alternative Fuels.
Insider Ownership: 37.2%
Ameresco, Inc. exhibits promising growth potential with earnings forecasted to grow significantly at 28.12% annually, outpacing the US market average. Despite revenue growth being slower than 20%, it remains above the market rate at 10.9% per year. Recent projects like the collaboration with RUSA and London Stadium's solar implementation highlight Ameresco's role in renewable energy solutions, although interest payments are not well covered by earnings, indicating financial challenges that need addressing for sustained growth.
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.
