The UK market has recently faced challenges, with the FTSE 100 and FTSE 250 indices slipping due to weak trade data from China, highlighting concerns over global economic recovery. In such uncertain times, growth companies with high insider ownership can be appealing as they often indicate management's confidence in their long-term prospects.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: Mortgage Advice Bureau (Holdings) plc, with a market cap of £414.97 million, operates in the United Kingdom offering mortgage advice services through its subsidiaries.
Operations: The company's revenue is primarily generated from the provision of financial services, amounting to £243.31 million.
Insider Ownership: 19.8%
Mortgage Advice Bureau (Holdings) shows significant growth potential with expected earnings growth of 29.6% annually, outpacing the UK market's 14.2%. However, recent earnings for the half-year ended June 2024 dropped to £3.7 million from £6.42 million a year ago, indicating short-term challenges. Insider confidence remains strong with substantial insider buying and no major selling over the past three months, despite a volatile share price and dividends not fully covered by earnings.
Overview: Gulf Keystone Petroleum Limited is involved in the exploration, development, and production of oil and gas in the Kurdistan Region of Iraq, with a market cap of approximately £289.11 million.
Operations: The company generates revenue primarily from its exploration and production activities in the oil and gas sector, amounting to $115.15 million.
Insider Ownership: 12.2%
Gulf Keystone Petroleum's growth outlook is promising, with revenue projected to increase by 42.8% annually, surpassing the UK market average. Recent earnings showed a modest profit of $0.44 million compared to a loss previously, indicating improvement. Insider confidence is evident with substantial insider buying and no major selling recently. Despite trading at 35.8% below estimated fair value, challenges include low forecasted return on equity and recent leadership changes following the passing of Chair Martin Angle.
Overview: LSL Property Services plc operates in the United Kingdom, offering business-to-business services to mortgage intermediaries and estate agency franchisees, as well as valuation services to lenders, with a market cap of £315.09 million.
Operations: LSL Property Services generates revenue from three primary segments: Financial Services (£47.22 million), Surveying and Valuation (£79.49 million), and Estate Agency (£30.61 million).
Insider Ownership: 10.8%
LSL Property Services shows potential as a growth company with revenue expected to grow at 12.1% annually, outpacing the UK market average. Recent earnings results highlight a turnaround with £9.95 million net income compared to a previous loss, though high-quality earnings are impacted by one-off items. Despite trading significantly below estimated fair value and no recent insider buying or selling activity, its dividend sustainability remains questionable due to insufficient coverage by earnings.
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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 AIM:MAB1 LSE:GKP and LSE:LSL.
