The Indian market has been flat in the last week but has seen a significant rise of 40% over the past 12 months, with earnings forecast to grow by 17% annually. In such an environment, companies that combine high insider ownership with strong revenue growth can be particularly appealing as they often signal confidence from those closest to the business and potential for continued expansion.
Top 10 Growth Companies With High Insider Ownership In India
Overview: Five-Star Business Finance Limited is a non-banking financial company in India with a market cap of ₹260.17 billion.
Operations: The company generates revenue from MSME Loans, Housing Loans, and Property Loans amounting to ₹17.79 billion.
Insider Ownership: 18.7%
Revenue Growth Forecast: 21.9% p.a.
Five-Star Business Finance is poised for growth with earnings expected to rise 20.53% annually, outpacing the Indian market's 17.4%. Despite a low forecasted return on equity of 19.4%, its price-to-earnings ratio (28.8x) remains attractive compared to the market average of 34.1x. Recent board appointments and debt financing initiatives, including INR 25 billion in non-convertible debentures, suggest strategic positioning for expansion while maintaining substantial insider involvement through warrant allocations.
Overview: Sansera Engineering Limited manufactures and sells precision engineered components for automotive and non-automotive sectors across India, Europe, the United States, and internationally, with a market cap of ₹95.76 billion.
Operations: The company generates revenue of ₹28.95 billion from its precision-engineered components segment, catering to both automotive and non-automotive sectors worldwide.
Insider Ownership: 30.5%
Revenue Growth Forecast: 15.4% p.a.
Sansera Engineering's growth trajectory is underscored by its expected earnings increase of 29.3% annually, surpassing the broader Indian market. The recent long-term contract with Dynamatic Technologies for Airbus A220 components exemplifies its strategic expansion in aerospace manufacturing. Despite past shareholder dilution and high debt levels, Sansera's acquisition of industrial land in Karnataka signals robust future capacity growth. Insider ownership remains significant, reflecting confidence amidst these strategic developments and financial forecasts.
Overview: VA Tech Wabag Limited, with a market cap of ₹116.37 billion, specializes in the design, supply, installation, construction, operation, and maintenance of drinking water, waste and industrial water treatment, and desalination plants both in India and internationally.
Operations: The company's revenue primarily comes from the construction and maintenance of water treatment plants, amounting to ₹29.30 billion.
Insider Ownership: 28.3%
Revenue Growth Forecast: 17.4% p.a.
VA Tech Wabag is experiencing significant earnings growth, expected to rise by 27.3% annually, outpacing the Indian market. Recent major contracts in desalination and water treatment with Indosol Solar and Reliance Industries highlight its strategic expansion and leadership in these sectors. Despite no substantial insider buying recently, insider ownership remains influential. However, a legal dispute with Travancore Titanium Products poses potential financial challenges as the company plans to appeal an unfavorable arbitration award.
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:FIVESTAR NSEI:SANSERA and NSEI:WABAG.
