In a week marked by record highs for major U.S. stock indexes, growth stocks have notably outperformed their value counterparts, driven by strong performances in sectors like consumer discretionary and information technology. As investors navigate these buoyant market conditions, companies with high insider ownership can be particularly attractive due to the confidence insiders demonstrate in their business's potential for sustained growth.
Top 10 Growth Companies With High Insider Ownership
Overview: P/F Bakkafrost, along with its subsidiaries, is engaged in the production and sale of salmon products across North America, Western Europe, Eastern Europe, Asia, and other international markets; it has a market cap of NOK39.29 billion.
Operations: The company's revenue segments include Services (DKK 899.29 million), Sales and Other (DKK 10.27 billion), Farming Scotland (DKK 1.68 billion), Freshwater Scotland (DKK 119.99 million), Farming Faroe Islands (DKK 3.92 billion), Fishmeal, Oil and Feed (DKK 3.13 billion), and Freshwater Faroe Islands (DKK 686.59 million).
Insider Ownership: 13.3%
Revenue Growth Forecast: 15.4% p.a.
P/F Bakkafrost has experienced more insider buying than selling in the past three months, indicating potential confidence from insiders. Despite a recent quarterly net loss of DKK 113.72 million, the company’s earnings are expected to grow significantly at 63% annually over the next three years, outpacing market averages. However, its return on equity is projected to remain low at 15.2%. Revenue growth is forecasted at 15.4% annually, slower than desired for high-growth companies.
Overview: Dalian Haosen Intelligent Manufacturing Co., Ltd. operates in the intelligent manufacturing sector with a market cap of CN¥3.44 billion.
Operations: Dalian Haosen Intelligent Manufacturing Co., Ltd. generates its revenue from various segments within the intelligent manufacturing sector.
Insider Ownership: 23.8%
Revenue Growth Forecast: 17.3% p.a.
Dalian Haosen Intelligent Manufacturing's earnings are forecast to grow significantly at 87.12% annually, with the company expected to become profitable in three years, surpassing market averages. Revenue is projected to grow at 17.3% per year, faster than the Chinese market average of 13.7%. However, recent financial results show a decline in net income from CNY 101.76 million to CNY 7.68 million year-on-year, indicating potential challenges despite growth prospects.
Overview: Aoshikang Technology Co., Ltd. specializes in the research, development, production, and sale of printed circuit boards and has a market cap of CN¥7.98 billion.
Operations: The company's revenue is primarily derived from its printed circuit boards segment, totaling CN¥4.41 billion.
Insider Ownership: 22.7%
Revenue Growth Forecast: 19% p.a.
Aoshikang Technology's earnings are projected to grow significantly at 30.72% annually, outpacing the Chinese market average of 25.9%. Revenue is expected to increase by 19% per year, also surpassing the market growth rate of 13.7%. Despite a recent decline in net income from CNY 440.52 million to CNY 278.81 million, the company trades at a substantial discount to its estimated fair value and has not seen significant insider trading activity recently.
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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 OB:BAKKA SHSE:688529 and SZSE:002913.
