Over the last 7 days, the United Kingdom market has remained flat, though it is up 10% over the past year and earnings are expected to grow by 14% per annum over the next few years. In this context, growth companies with high insider ownership can be particularly appealing as they often indicate strong confidence from those closest to the business.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: Franchise Brands plc, with a market cap of ￡355.61 million, operates in franchising and related activities across the United Kingdom, North America, and Europe through its subsidiaries.
Operations: Revenue segments for Franchise Brands plc include Azura (￡0.75 million), Pirtek (￡41.95 million), B2C Division (￡6.11 million), Water & Waste (￡48.88 million), and Filta International (￡27.12 million).
Insider Ownership: 26.6%
Revenue Growth Forecast: 11.5% p.a.
Franchise Brands has seen substantial insider buying over the past three months, indicating confidence in its future. Despite a dip in net profit margin from 11.6% to 2.5%, earnings are forecast to grow significantly at 40.65% per year, outpacing the UK market's average of 14.3%. Recent executive changes include appointing Andrew Mallows as Interim CFO and Mark Boxall as COO, suggesting strategic shifts aimed at bolstering operational efficiency and growth prospects.
Overview: Energean plc is involved in the exploration, production, and development of oil and gas, with a market cap of ￡1.78 billion.
Operations: The company's revenue primarily comes from its oil and gas exploration and production segment, which generated $1.42 billion.
Insider Ownership: 10.6%
Revenue Growth Forecast: 11% p.a.
Energean's revenue is forecast to grow 11% annually, outpacing the UK market. Despite high debt levels and past shareholder dilution, earnings are expected to grow 14.6% per year, surpassing the market average. Recent business expansions include the Cassiopea field in Italy and Katlan project in Israel, signaling strong growth potential. Insiders have shown confidence with net buying activity over the past three months. The stock trades at a significant discount to its estimated fair value.
Overview: TBC Bank Group PLC, with a market cap of ￡1.70 billion, offers banking, leasing, insurance, brokerage, and card processing services to corporate and individual customers in Georgia, Azerbaijan, and Uzbekistan.
Operations: Revenue Segments (in millions of GEL): Uzbekistan Operations: 236.42, Segment Adjustment: 2132.38
Insider Ownership: 17.6%
Revenue Growth Forecast: 18.9% p.a.
TBC Bank Group's revenue is forecast to grow 18.9% annually, significantly outpacing the UK market. Despite past shareholder dilution and an unstable dividend track record, earnings are expected to grow 15.3% per year, surpassing the market average. Recent earnings reports show net income of GEL 617.4 million for H1 2024, up from GEL 537.46 million a year ago. The stock trades at a substantial discount to its estimated fair value, indicating potential upside for investors.
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 LSE:ENOG and LSE:TBCG.
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