In the last week, the UK market has stayed flat, with the Materials sector gaining 4.0%. Over the past 12 months, the market has risen by 5.3%, and earnings are forecast to grow by 14% annually. In this context, identifying growth companies with high insider ownership can be a prudent strategy for investors seeking to align their interests with those of company insiders who have a significant stake in their businesses.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: Foresight Group Holdings Limited is an infrastructure and private equity manager operating in the UK, Italy, Luxembourg, Ireland, Spain, and Australia with a market cap of £612.23 million.
Operations: The company's revenue segments are comprised of £84.17 million from Infrastructure, £47.35 million from Private Equity, and £9.80 million from Foresight Capital Management.
Insider Ownership: 31.8%
Foresight Group Holdings, a growth company with high insider ownership, recently approved a final dividend of 15.5 pence per share for FY2024, reflecting a 10% increase in total dividends to 22.2 pence. The company reported annual sales of £141.33 million and net income of £26.43 million, with earnings expected to grow significantly at 27.9% per year over the next three years—outpacing the UK market's forecasted growth rate of 14.2%.
Overview: Genel Energy plc operates as an independent oil and gas exploration and production company through its subsidiaries, with a market cap of £215.37 million.
Operations: Genel Energy plc generates $74.40 million from its production segment.
Insider Ownership: 25.8%
Genel Energy, characterized by significant insider ownership, has seen substantial insider buying over the past three months. Despite reporting a net loss of US$21.9 million for H1 2024, down from US$40.7 million a year ago, the company is expected to become profitable within three years with earnings forecasted to grow at 57.51% annually. Recent production results show improvement with total gross domestic sales reaching 79,780 bopd in Q2 2024.
Overview: Hochschild Mining plc is a precious metals company involved in the exploration, mining, processing, and sale of gold and silver deposits across Peru, Argentina, the United States, Canada, Brazil, and Chile with a market cap of £919.85 million.
Operations: Hochschild Mining's revenue segments include $266.70 million from San Jose and $451.91 million from Inmaculada, with a segment adjustment of $79.60 million.
Insider Ownership: 38.4%
Hochschild Mining, a growth company with high insider ownership, has reported significant financial improvements. For H1 2024, sales reached US$391.74 million, up from US$314.02 million a year ago, and net income was US$39.52 million compared to a net loss of US$44.71 million previously. Despite its high debt levels and volatile share price, Hochschild is trading at 59.2% below fair value estimates with earnings forecasted to grow significantly at 44.83% annually over the next three years.
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 LSE:FSG LSE:GENL and LSE:HOC.
