Over the last 7 days, the Australian market has risen 2.1%, driven by gains in every sector, and it is up 13% over the last 12 months with earnings forecast to grow by 12% annually. In this thriving environment, growth companies with high insider ownership can be particularly attractive as they often indicate strong confidence from those who know the business best.
Top 10 Growth Companies With High Insider Ownership In Australia
Overview: APM Human Services International Limited (ASX:APM) offers human and health services, with a market cap of A$1.33 billion.
Operations: The company's revenue segments are A$839.85 million from ANZ (Australia and New Zealand), A$1.07 billion from North America (Canada and the USA), and A$385.38 million from the Rest of World (Korea, Singapore, Germany, Switzerland, Spain, and the UK).
Insider Ownership: 27.2%
Earnings Growth Forecast: 55.6% p.a.
APM Human Services International is forecast to become profitable within three years, with earnings expected to grow at 55.58% annually. Despite trading at a significant discount to its estimated fair value, the company faces challenges including recent delisting from OTC equity due to inactivity and a net loss of A$220.74 million for FY2024. Revenue growth is projected at 6.2% per year, outpacing the broader Australian market but below high-growth benchmarks.
Overview: Guzman y Gomez Limited owns, operates, and franchises quick service restaurants in Australia, Singapore, Japan, and the United States with a market cap of A$4.13 billion.
Operations: The company generates revenue primarily from its restaurants, amounting to A$364.99 million.
Insider Ownership: 14.2%
Earnings Growth Forecast: 47.3% p.a.
Guzman y Gomez Limited reported A$342.21 million in sales for FY2024, up from A$259.04 million the previous year, but net loss widened to A$13.75 million from A$2.27 million. Despite current losses, revenue is forecast to grow 17.7% annually, outpacing the Australian market's 5.4% growth rate and earnings are expected to increase by 47.31% per year with profitability anticipated within three years, indicating strong growth potential amidst high insider ownership.
Overview: Mesoblast Limited develops regenerative medicine products across Australia, the United States, Singapore, and Switzerland, with a market cap of A$11.13 billion.
Operations: Mesoblast Limited's revenue primarily comes from the development of its cell technology platform for commercialization, amounting to $5.90 million.
Insider Ownership: 22.2%
Earnings Growth Forecast: 59.1% p.a.
Mesoblast Limited, a biopharmaceutical company with significant insider ownership, recently reported a net loss of US$87.96 million for FY2024, up from US$81.89 million the previous year, despite sales of US$5.9 million. The company's lead product candidate, Ryoncil (remestemcel-L), has received FDA acceptance for its Biologics License Application resubmission and is anticipated to see a decision by January 2025. Mesoblast's revenue is forecast to grow at 46.9% annually with profitability expected within three years.
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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:APM ASX:GYG and ASX:MSB.
