In the past year, the Indian market has seen a robust increase of 46%, though it has remained flat over the last seven days. With earnings expected to grow by 16% per annum, companies with high insider ownership can be particularly appealing as they often indicate a strong commitment from those who know the business best.
Top 10 Growth Companies With High Insider Ownership In India
Overview: Astral Limited operates in the manufacturing and marketing of pipes, water tanks, and adhesives and sealants both in India and internationally, with a market capitalization of approximately ₹610.76 billion.
Operations: The company generates ₹41.42 billion from plumbing and ₹14.99 billion from paints and adhesives.
Insider Ownership: 39.4%
Earnings Growth Forecast: 23% p.a.
Astral Limited has demonstrated robust financial performance with a consistent increase in earnings, reporting a 19.1% annual growth over the past five years and an expected acceleration to 23% per year going forward. This growth outpaces the Indian market's average, reflecting strong revenue projections of 17.4% annually against a market rate of 9.6%. However, insider transactions have not shown significant buying activity recently, indicating potential caution among those closest to the company's operations.
Overview: Info Edge (India) Limited is an online classifieds company focusing on recruitment, matrimony, real estate, and education services both in India and internationally, with a market capitalization of approximately ₹823.70 billion.
Operations: The company generates revenue primarily through Recruitment Solutions and 99acres for Real Estate, earning ₹187.99 billion and ₹3.51 billion respectively.
Insider Ownership: 37.9%
Earnings Growth Forecast: 24.3% p.a.
Info Edge (India) has shown promising growth with its earnings forecast to increase by 24.34% annually, outpacing the Indian market's average of 15.9%. Despite this, the company's Return on Equity is expected to remain low at 5.9% in three years. Insider activity has been relatively stable with more shares bought than sold recently, although no substantial purchases were made in the last quarter. The firm became profitable this year and announced a dividend increase, reflecting its improving financial health.
Overview: Solara Active Pharma Sciences Limited is engaged in the manufacturing and distribution of active pharmaceutical ingredients (APIs) in India, with a market capitalization of ₹21.72 billion.
Operations: The company's revenue from active pharmaceutical ingredients (APIs) totals ₹12.89 billion.
Insider Ownership: 10.4%
Earnings Growth Forecast: 141.2% p.a.
Solara Active Pharma Sciences, despite recent financial struggles including a net loss in Q4 2024, is poised for recovery with expected revenue growth of INR 15 billion and a return to profitability within three years. The company has recently completed a significant equity offering of INR 4.5 billion, which may dilute shareholder value but also funds expansion, like its new FDA-compliant facility in Visakhapatnam. This facility underscores Solara's commitment to compliance and market expansion, aligning with its strategic growth plans despite current volatility.
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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.
