In the past week, the United Kingdom stock market has experienced a 1.0% decline, though it has risen by 8.0% over the last year with earnings expected to grow by 13% annually. In such a market, companies with high insider ownership can be particularly compelling as this often reflects confidence from those who know the business best.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: FD Technologies plc operates globally, offering software and consulting services, with a market capitalization of approximately £0.39 billion.
Operations: The company generates revenue through its international software and consulting services.
Insider Ownership: 12.9%
FD Technologies, a UK-based firm, is undergoing significant restructuring to enhance shareholder value, including a strategic merger of its MRP business with CONTENTgine. Despite insider transactions not being substantial, more shares have been bought than sold by insiders recently. The company's revenue is expected to grow at 4.7% annually, outpacing the UK market average of 3.7%. However, FD Technologies is forecasted to achieve profitability only in the next three years and currently trades at good value relative to its peers.
Overview: Hochschild Mining plc is a precious metals company that specializes 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 capitalization of approximately £0.88 billion.
Operations: The company generates revenue primarily from its San Jose, Inmaculada, and Pallancata mines with earnings of $242.46 million, $396.64 million, and $54.05 million respectively.
Insider Ownership: 38.4%
Hochschild Mining, a UK-based miner with significant insider ownership, is navigating a challenging landscape. Despite recent production increases, the company reported a net loss in 2023 and is actively seeking value-accretive mergers and acquisitions to bolster growth. Insiders have been net buyers of shares recently, signaling confidence. With revenue growth forecasted at 8.3% per year—above the UK market average—the firm is expected to become profitable within three years amidst strategic expansions.
Overview: TBC Bank Group PLC operates primarily in Georgia, Azerbaijan, and Uzbekistan, offering a range of services including banking, leasing, insurance, brokerage, and card processing with a market cap of approximately £1.47 billion.
Operations: The company generates revenue through banking, leasing, insurance, brokerage, and card processing services across Georgia, Azerbaijan, and Uzbekistan.
Insider Ownership: 17.9%
TBC Bank Group, a prominent UK-based entity with high insider ownership, reported a substantial year-over-year increase in net interest income and net income for Q1 2024. Despite trading below its estimated fair value and having a low allowance for bad loans at 74%, the bank shows robust forecasted revenue growth at 18.9% annually, outpacing the UK market average. Challenges include a high level of non-performing loans (2.1%) and an unstable dividend track record, yet its Return on Equity is expected to remain high at 25.6% in 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 AIM:FDPLSE:HOC and LSE:TBCG
