In This Article:
The Australian market has stayed flat over the past 7 days but is up 6.6% over the past year, with earnings forecasted to grow by 13% annually. In this context, identifying growth companies with high insider ownership can be a promising strategy for investors seeking alignment between company leadership and shareholder interests.
Top 10 Growth Companies With High Insider Ownership In Australia
| Name | Insider Ownership | Earnings Growth |
| Cettire (ASX:CTT) | 28.7% | 26.7% |
| Acrux (ASX:ACR) | 14.6% | 115.3% |
| Clinuvel Pharmaceuticals (ASX:CUV) | 13.6% | 26.8% |
| Liontown Resources (ASX:LTR) | 16.4% | 51.6% |
| Catalyst Metals (ASX:CYL) | 17% | 75.7% |
| Biome Australia (ASX:BIO) | 34.5% | 114.4% |
| Hillgrove Resources (ASX:HGO) | 10.4% | 49.4% |
| Ora Banda Mining (ASX:OBM) | 10.2% | 106.8% |
| Plenti Group (ASX:PLT) | 12.8% | 106.4% |
| Change Financial (ASX:CCA) | 26.6% | 77.9% |
Let's dive into some prime choices out of the screener.
Mineral Resources
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Mineral Resources Limited, with a market cap of A$10.62 billion, operates as a mining services company in Australia, Asia, and internationally through its subsidiaries.
Operations: The company's revenue segments are comprised of A$1.60 billion from Lithium, A$2.50 billion from Iron Ore, and A$2.82 billion from Mining Services.
Insider Ownership: 11.6%
Mineral Resources Limited showcases high insider ownership and strong growth potential, with earnings forecasted to grow 19.3% annually, outpacing the Australian market's 13.1%. Revenue is expected to increase by 10.2% per year, also surpassing market growth rates. However, profit margins have declined from 16.3% to 7.9%, and interest payments are not well covered by earnings. Trading at a significant discount of approximately 54.9% below estimated fair value indicates potential undervaluation despite these challenges.
Technology One
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Technology One Limited develops, markets, sells, implements, and supports integrated enterprise business software solutions in Australia and internationally with a market cap of A$6.71 billion.
Operations: Revenue segments for Technology One Limited include Software (A$317.24 million), Corporate (A$83.83 million), and Consulting (A$68.13 million).
Insider Ownership: 12.3%
Technology One demonstrates high insider ownership and robust growth potential. The company's earnings are forecasted to grow at 14.8% annually, outpacing the Australian market's 13.1%, while revenue is expected to increase by 11.5% per year, surpassing the market's 4.9%. Recent earnings reported A$240.83 million in revenue and A$48 million in net income for H1 2024, showing solid year-over-year growth. The appointment of Paul Robson as a Non-Executive Director enhances strategic capabilities with his SaaS expertise.