The United Kingdom market has shown a steady performance, remaining flat over the last week while achieving an 8.5% rise over the past year, with earnings expected to grow by 15% annually. In such conditions, identifying growth companies with high insider ownership can be advantageous as they often demonstrate strong alignment between management and shareholder interests, potentially positioning them well for future success.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: Beeks Financial Cloud Group plc offers managed cloud computing, connectivity, and analytics services for capital markets and financial services sectors globally, with a market cap of £197.79 million.
Operations: The company's revenue is primarily derived from its Public/Private Cloud segment, which generated £25.01 million, and its Proximity/Exchange Cloud segment, contributing £3.47 million.
Insider Ownership: 32.1%
Earnings Growth Forecast: 36.9% p.a.
Beeks Financial Cloud Group has demonstrated strong growth, with revenue rising to £28.49 million and a return to profitability this year. Forecasts suggest its revenue will grow at 22.1% annually, outpacing the UK market. However, auditor concerns about its going concern status present risks. Insider activity shows more buying than selling recently, indicating confidence in future prospects despite challenges such as forecasted low return on equity of 14.4%.
Overview: Mortgage Advice Bureau (Holdings) plc, with a market cap of £383.67 million, offers mortgage advice services across the United Kingdom 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%
Earnings Growth Forecast: 26.4% p.a.
Mortgage Advice Bureau (Holdings) shows promising growth potential with earnings forecasted to grow 26.4% annually, outpacing the UK market. Despite a volatile share price, insider confidence remains strong with substantial buying activity recently. However, its dividend yield of 4.24% is not well covered by earnings, and recent financial results showed a decline in net income to £3.7 million for the first half of 2024 compared to last year’s £6.42 million.
Overview: PensionBee Group plc is a direct-to-consumer financial technology company offering online pension services in the United Kingdom and the United States, with a market cap of £358.80 million.
Operations: The company generates revenue through its Internet Information Providers segment, amounting to £28.32 million.
Insider Ownership: 38.8%
Earnings Growth Forecast: 67.1% p.a.
PensionBee Group is experiencing rapid growth, with revenue projected to increase by 20.6% annually, surpassing the UK market average. The company recently expanded into the U.S., acquiring 10,000 new customers and raising $25 million to support this venture. Despite past shareholder dilution, PensionBee's strategic partnership with State Street Global Advisors enhances its service offerings. Analysts anticipate a 32.1% rise in stock price as it aims for profitability 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 AIM:BKS AIM:MAB1 and LSE:PBEE.