The Indian market has climbed 1.3% in the last 7 days and is up 45% over the last 12 months, with earnings expected to grow by 17% per annum over the next few years. In this robust environment, growth companies with high insider ownership can offer compelling opportunities due to their potential for strong performance and alignment of interests between management and shareholders.
Top 10 Growth Companies With High Insider Ownership In India
Overview: Apollo Hospitals Enterprise Limited, along with its subsidiaries, provides healthcare services in India and internationally with a market cap of ₹1.02 trillion.
Operations: Apollo Hospitals Enterprise Limited generates revenue from three primary segments: Healthcare Services (₹102.83 billion), Retail Health & Diagnostics (₹14.12 billion), and Digital Health & Pharmacy Distribution (₹81.04 billion).
Insider Ownership: 10.4%
Revenue Growth Forecast: 16.2% p.a.
Apollo Hospitals Enterprise has demonstrated significant earnings growth, with net income rising to ₹3.05 billion in Q1 2024 from ₹1.67 billion a year ago. Revenue increased to ₹51.23 billion, reflecting robust operational performance. Despite having a high level of debt, the company’s earnings are forecasted to grow at 32.3% annually, outpacing the market's 17.3%. Insider ownership remains substantial without notable recent insider trading activity, aligning interests with shareholders and supporting long-term growth prospects.
Overview: Astral Limited, with a market cap of ₹5.40 billion, manufactures and markets pipes, water tanks, adhesives, and sealants in India and internationally through its subsidiaries.
Operations: The company's revenue segments comprise ₹42.17 billion from plumbing and ₹15.25 billion from paints and adhesives.
Insider Ownership: 39.4%
Revenue Growth Forecast: 17.2% p.a.
Astral Limited has shown steady growth with earnings increasing 17.7% annually over the past five years and forecasted to grow significantly at 23.4% per year, outpacing the Indian market's average. Despite recent substantial insider selling, insider ownership remains high, aligning management with shareholder interests. The company recently expanded its operations by commissioning a new plant in Hyderabad and consolidating adhesive manufacturing facilities, indicating strategic growth initiatives.
Overview: Info Edge (India) Limited operates as an online classifieds company in recruitment, matrimony, real estate, and education services in India and internationally, with a market cap of ₹1.04 trillion.
Operations: The company's revenue segments include ₹19.05 billion from recruitment solutions and ₹3.67 billion from its 99acres real estate platform.
Insider Ownership: 37.7%
Revenue Growth Forecast: 13% p.a.
Info Edge (India) is expected to see significant earnings growth at 23.61% annually over the next three years, outpacing the Indian market's average of 17.3%. Despite recent substantial insider selling, insider ownership remains high. The company recently appointed Mr. Hoonar Janu as Senior Vice President and Head of Public Policy, reflecting its strategic focus on tech business strategy and policy expertise. Additionally, Info Edge reported strong Q1 results with revenue rising to ₹8.28 billion from ₹6.90 billion a year ago.
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:APOLLOHOSP NSEI:ASTRAL and NSEI:NAUKRI.
