In the current U.S. market landscape, recent economic data has driven concerns about interest rate cuts, leading to a slide in major indices such as the Dow Jones and S&P 500. Amidst this backdrop of uncertainty, growth companies with high insider ownership are gaining attention for their potential resilience and alignment of interests between management and shareholders.
Top 10 Growth Companies With High Insider Ownership In The United States
Overview: Coastal Financial Corporation, with a market cap of $1.14 billion, operates as the bank holding company for Coastal Community Bank, offering a range of banking products and services to small and medium-sized businesses, professionals, and individuals in the Puget Sound region in Washington.
Operations: The company's revenue is derived from three segments: CCBX generating $192.73 million, Community Bank contributing $78.94 million, and Treasury & Administration adding $12.45 million.
Insider Ownership: 15.5%
Revenue Growth Forecast: 42.6% p.a.
Coastal Financial is experiencing robust growth, with forecasted revenue and earnings growth rates significantly outpacing the US market. Despite trading at 52.2% below its estimated fair value, insider buying has been modest recently. The company completed an $85.2 million follow-on equity offering in December 2024, potentially boosting capital for further expansion. Recent earnings reports show improved financial performance, with net interest income rising to US$72.19 million and net income reaching US$13.46 million for Q3 2024.
Overview: Five Star Bancorp is a bank holding company for Five Star Bank, offering various banking products and services to small and medium-sized businesses, professionals, and individuals in Northern California, with a market cap of $632.32 million.
Operations: The company generates its revenue primarily through financial service operations, amounting to $113.17 million.
Insider Ownership: 24.6%
Revenue Growth Forecast: 18.4% p.a.
Five Star Bancorp, trading at 44.9% below its estimated fair value, is expected to see earnings grow significantly at 20.8% annually, outpacing the US market. Despite limited insider buying recently and some shareholder dilution over the past year, analysts anticipate a stock price rise of 26.9%. Recent financials show net interest income increased to US$30.39 million for Q3 2024, though net income slightly declined compared to last year.
Overview: VTEX offers a software-as-a-service digital commerce platform for enterprise brands and retailers, with a market cap of approximately $1.10 billion.
Operations: The company's revenue is primarily derived from its Internet Software & Services segment, totaling $225.91 million.
Insider Ownership: 39.1%
Revenue Growth Forecast: 15.9% p.a.
VTEX is experiencing strong growth, with earnings forecast to rise 36% annually, outpacing the US market. The company recently became profitable and reported Q3 2024 revenue of US$56 million, up from US$50.63 million a year ago. A share repurchase program worth US$30 million was announced, indicating confidence in its future prospects. However, VTEX's return on equity is projected to be modest at 11.9% in three years, and revenue growth is expected to be slower than earnings growth.
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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.
