As the U.S. stock markets experience fluctuations ahead of a pivotal presidential election and a crucial Federal Reserve interest rate decision, investors are closely monitoring potential opportunities amidst the uncertainty. In such an environment, growth companies with high insider ownership can be particularly appealing, as significant insider stakes often indicate confidence in the company's long-term prospects and alignment with shareholder interests.
Top 10 Growth Companies With High Insider Ownership In The United States
Overview: Carriage Services, Inc. operates in the United States offering funeral and cemetery services and merchandise, with a market cap of approximately $561.58 million.
Operations: The company generates revenue from its funeral segment, amounting to $266.69 million, and its cemetery segment, totaling $138.64 million.
Insider Ownership: 11.2%
Carriage Services shows potential as a growth company with high insider ownership, evidenced by substantial insider buying and no significant selling recently. The company's earnings have grown significantly, with Q3 2024 net income more than doubling year-over-year to US$9.87 million. While revenue growth is slower than the market average, earnings are expected to outpace it at 23.8% annually over the next three years. Recent board changes aim to enhance long-term growth and shareholder value.
Overview: RH, along with its subsidiaries, operates as a retailer in the home furnishings market and has a market cap of approximately $5.97 billion.
Operations: The company's revenue segments consist of $2.85 billion from Restoration Hardware (RH) and $196.56 million from Waterworks.
Insider Ownership: 17.1%
RH demonstrates characteristics of a growth company with high insider ownership, though recent earnings have been impacted by large one-off items. Despite a decline in profit margins to 1.1% from 10% last year, RH's earnings are forecast to grow significantly at 72.6% annually, outpacing the US market average. The company's strategic expansion efforts, such as the opening of RH Raleigh, highlight its commitment to enhancing retail experiences and potential long-term growth prospects.
Overview: Ryan Specialty Holdings, Inc. is a service provider offering specialty products and solutions for insurance brokers, agents, and carriers across the United States, Canada, the United Kingdom, Europe, and Singapore with a market capitalization of approximately $17.47 billion.
Operations: The company's revenue is primarily derived from its Insurance Brokers segment, which generated approximately $2.32 billion.
Insider Ownership: 18.4%
Ryan Specialty Holdings shows potential as a growth company with high insider ownership, despite recent substantial insider selling. The firm is in final talks to acquire Innovisk Capital Partners, which could enhance its underwriting capabilities. Recent earnings reveal strong revenue growth to US$604.69 million for Q3 2024, up from US$501.94 million the previous year. Earnings are projected to grow significantly at 36.6% annually, surpassing the US market average of 15.4%.
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.
