In the midst of fluctuating global economic signals and recent downturns in the FTSE indices, investors are increasingly seeking stability and growth potential within the UK market. In such a climate, companies with high insider ownership often stand out as attractive prospects due to their alignment of interests between management and shareholders, suggesting confidence in long-term growth despite broader market challenges.
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 £452.42 million.
Operations: The company's revenue segments consist of £87.79 million from infrastructure, £50.78 million from private equity, and £8.10 million from Foresight Capital Management.
Insider Ownership: 35.2%
Earnings Growth Forecast: 26.6% p.a.
Foresight Group Holdings is experiencing robust growth, with earnings increasing by 45.9% over the past year and forecasted to grow significantly, outpacing the UK market. Despite trading at a discount to estimated fair value, it has initiated a £50 million share buyback program. While revenue growth is slower than some high-growth peers, it remains above the market average. The company's return on equity is projected to be very high in three years' time.
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 Kingdom, Canada, Brazil, and Chile with a market cap of £1.47 billion.
Operations: The company's revenue segments include San Jose at $293.34 million, Mara Rosa at $149.82 million, Inmaculada at $504.34 million, and Pallancata at -$0.26 million.
Insider Ownership: 38.4%
Earnings Growth Forecast: 27.8% p.a.
Hochschild Mining shows promising growth potential with earnings expected to rise significantly at 27.8% annually, surpassing the UK market's average. Despite revenue growth being moderate at 6.5%, it is still above the market rate. The company recently turned profitable, reporting a net income of US$97.01 million for 2024 compared to a previous loss, and trades below its estimated fair value by over 40%. However, its share price has been highly volatile recently.
Overview: TBC Bank Group PLC, with a market cap of £2.51 billion, operates through its subsidiaries to offer banking, leasing, insurance, brokerage, and card processing services to corporate and individual customers in Georgia, Azerbaijan, and Uzbekistan.
Operations: The company generates revenue primarily from Georgian Financial Services, amounting to GEL 2.34 billion.
Insider Ownership: 17.6%
Earnings Growth Forecast: 17.2% p.a.
TBC Bank Group demonstrates strong growth potential with earnings projected to grow at 17.2% annually, outpacing the UK market. Revenue is also expected to increase significantly at 22.2% per year. Despite a high level of bad loans (2.5%) and a low allowance for these loans (69%), TBC trades at 51.6% below its estimated fair value, indicating potential undervaluation. Recent results show increased net interest income and net income compared to the previous year, supporting growth forecasts.
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:HOC and LSE:TBCG.
