ASX Growth Companies With High Insider Ownership In October 2024
The Australian market has been experiencing a mixed performance, with the ASX200 down 0.75% at 8,140 points amid geopolitical tensions in the Middle East that have caused oil prices to surge. While the Energy sector has benefited from these developments, other sectors like Materials and Financials are facing declines, highlighting the importance of strategic stock selection during such volatile times. In this context, growth companies with high insider ownership can be appealing as they often indicate strong confidence from those closest to the business and may offer resilience in uncertain markets.
Top 10 Growth Companies With High Insider Ownership In Australia
Name | Insider Ownership | Earnings Growth |
Clinuvel Pharmaceuticals (ASX:CUV) | 10.4% | 27.4% |
Catalyst Metals (ASX:CYL) | 17% | 54.5% |
Genmin (ASX:GEN) | 12% | 117.7% |
Hillgrove Resources (ASX:HGO) | 10.4% | 71.5% |
AVA Risk Group (ASX:AVA) | 15.7% | 118.8% |
Pointerra (ASX:3DP) | 18.7% | 126.4% |
Liontown Resources (ASX:LTR) | 16.4% | 49.8% |
Acrux (ASX:ACR) | 17.4% | 91.6% |
Adveritas (ASX:AV1) | 21.1% | 144.2% |
Plenti Group (ASX:PLT) | 12.8% | 106.4% |
We'll examine a selection from our screener results.
Mineral Resources
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Mineral Resources Limited operates as a mining services company in Australia, Asia, and internationally, with a market cap of A$10.09 billion.
Operations: The company's revenue segments consist of A$3.38 billion from Mining Services, A$2.58 billion from Iron Ore, A$1.41 billion from Lithium, A$16 million from Energy, and A$19 million from Other Commodities.
Insider Ownership: 11.7%
Mineral Resources is experiencing significant earnings growth, forecasted at 38.3% annually, outpacing the Australian market. Despite trading at a discount to its estimated fair value and recent insider buying, profit margins have declined from last year. The company is exploring asset sales in the Perth Basin to strengthen its balance sheet amid high debt levels, with interest payments not well covered by earnings. Recent M&A activity could impact future financial positioning and growth strategies.
Dive into the specifics of Mineral Resources here with our thorough growth forecast report.
Our expertly prepared valuation report Mineral Resources implies its share price may be too high.
Mesoblast
Simply Wall St Growth Rating: ★★★★★☆
Overview: Mesoblast Limited is involved in the development of regenerative medicine products across Australia, the United States, Singapore, and Switzerland with a market cap of A$1.54 billion.
Operations: The company's revenue segment focuses on the commercialization of its cell technology platform, generating $5.90 million.
Insider Ownership: 22.2%
Mesoblast is facing challenges with a net loss of US$87.96 million for the year ending June 2024, alongside declining sales. Despite being dropped from the S&P/ASX Emerging Companies Index, insider buying has been substantial in recent months, indicating confidence in its growth prospects. The company anticipates significant revenue increases and profitability within three years, driven by potential FDA approval of Ryoncil for SR-aGVHD treatment and a promising pipeline that includes rexlemestrocel-L for chronic low back pain.
Get an in-depth perspective on Mesoblast's performance by reading our analyst estimates report here.
Our expertly prepared valuation report Mesoblast implies its share price may be lower than expected.
Vulcan Steel
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Vulcan Steel Limited operates in the sale and distribution of steel and metal products across New Zealand and Australia, with a market capitalization of A$1.05 billion.
Operations: The company's revenue segments include NZ$471.29 million from steel and NZ$593.04 million from metals.
Insider Ownership: 37.2%
Vulcan Steel is experiencing significant earnings growth, forecasted at 32.1% annually, outpacing the Australian market. Despite a recent drop in profit margins and revenue to NZ$1.06 billion, its high insider ownership signals confidence in long-term prospects. The company is actively pursuing acquisitions to bolster its growth strategy. Recent leadership changes, including appointing Gavin Street as Chief Commercial Officer, aim to strengthen commercial activities and strategic direction amidst an unstable dividend track record.
Taking Advantage
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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 ASX:MIN ASX:MSB and ASX:VSL.
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