Over the last 7 days, the Indian market has remained flat, but it has seen a remarkable 41% increase over the past year with earnings forecasted to grow by 17% annually. In this thriving environment, growth companies with significant 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 India
Overview: Dollar Industries Limited manufactures and sells hosiery products, including knitted inner wears, casual wears, and thermal wears in India and internationally, with a market cap of ₹29.61 billion.
Operations: The company's revenue segments include ₹15.78 billion from garments, hosiery goods, rainwear products, and related services.
Insider Ownership: 14.2%
Dollar Industries, a growth company with high insider ownership in India, reported Q1 2024 earnings with sales of ₹3.34 billion and net income of ₹153.03 million, showing modest year-over-year growth. The company's earnings are forecast to grow significantly at 30.61% annually over the next three years, outpacing the Indian market's average. However, its dividend yield is low and not well covered by free cash flows. Despite this, Dollar Industries' P/E ratio of 32.1x remains below the Indian market average of 34.3x.
Overview: Entero Healthcare Solutions Limited trades pharmaceutical and surgical products to retail pharmacies, hospitals, healthcare product manufacturers, and healthcare clinics in India with a market cap of ₹60.90 billion.
Operations: Revenue from trading pharmaceutical and surgical products to various healthcare entities in India amounts to ₹41.32 billion.
Insider Ownership: 15.8%
Entero Healthcare Solutions, with high insider ownership, has shown impressive growth. Q1 2024 earnings reported sales of ₹10.97 billion and net income of ₹200.8 million, significantly up from the previous year. Revenue is forecast to grow at 30.9% annually, outpacing the Indian market's average of 10.1%. Earnings are expected to rise by 53.3% per year over the next three years despite a low forecasted return on equity (12.4%) in three years' time.
Overview: PVR INOX Limited, a theatrical exhibition company operating in India and Sri Lanka, engages in the exhibition, distribution, and production of movies with a market cap of ₹157.12 billion.
Operations: The company's revenue segments include ₹59.48 billion from movie exhibition.
Insider Ownership: 10.1%
PVR INOX, with significant insider ownership, continues its expansion with new multiplexes in Mohali and Ahmedabad, enhancing its footprint in Northern and Central India. Despite a recent quarterly net loss of ₹1.79 billion on sales of ₹11.91 billion, revenue is forecast to grow at 12.1% annually, outpacing the Indian market's average growth rate of 10.1%. The company is expected to become profitable within three years and trades slightly below its estimated fair value.
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 NSEI:DOLLAR NSEI:ENTERO and NSEI:PVRINOX.
