As we kick off 2025, the Canadian TSX index has shown resilience amid global economic uncertainties, buoyed by a solid fundamental backdrop and positive economic growth. With the potential for a rate cut by the Bank of Canada and ongoing policy shifts in the U.S., investors are increasingly focused on companies with strong insider ownership, which can signal confidence in long-term growth prospects.
Top 10 Growth Companies With High Insider Ownership In Canada
Overview: Allied Gold Corporation, with a market cap of CA$1.30 billion, explores and produces mineral deposits in Africa through its subsidiaries.
Operations: The company's revenue consists of $150.18 million from the Agbaou Mine, $212.62 million from the Bonikro Mine, and $376.41 million from the Sadiola Mine.
Insider Ownership: 17.7%
Earnings Growth Forecast: 79.2% p.a.
Allied Gold demonstrates significant growth potential with high insider ownership, as insiders have been buying more shares recently. The company's revenue is expected to grow at 25.8% annually, outpacing the Canadian market average. A recent $175 million streaming transaction supports its expansion strategy, particularly for the Kurmuk project in Ethiopia. Despite past shareholder dilution, Allied Gold's valuation remains attractive relative to peers and industry standards, with forecasts indicating profitability within three years and strong earnings growth ahead.
Overview: Propel Holdings Inc. is a financial technology company with a market cap of CA$1.51 billion.
Operations: The company generates revenue of $416.43 million from providing lending-related services to borrowers, banks, and other institutions.
Insider Ownership: 36.5%
Earnings Growth Forecast: 38.9% p.a.
Propel Holdings exhibits strong growth potential, with revenue expected to increase by 25.4% annually, surpassing the Canadian market average. Recent earnings growth of 77.7% underscores its robust performance, although insider selling has been significant over the past three months. The company announced a share repurchase program and increased dividends, reflecting confidence in its financial health despite interest payments not being well covered by earnings. Propel's high forecasted return on equity further highlights its growth prospects.
Overview: VersaBank offers a range of banking products and services in Canada and the United States, with a market cap of CA$624.88 million.
Operations: The company generates revenue from its Digital Banking operations in Canada (CA$102.10 million) and the USA (CA$1.53 million), along with DRTC, which provides cybersecurity services and develops banking and financial technology (CA$9.64 million).
Insider Ownership: 10.7%
Earnings Growth Forecast: 45.3% p.a.
VersaBank's growth outlook is strong, with earnings projected to grow 45.3% annually, outpacing the Canadian market. Despite recent shareholder dilution due to a $75 million equity offering, insider transactions have seen more buying than selling in the past three months. The bank trades at a significant discount to its estimated fair value and forecasts revenue growth of 29.4% per year, well above market averages, although return on equity is expected to remain modest at 17.5%.
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 TSX:AAUC TSX:PRL and TSX:VBNK.
