Yahoo Finance May 2024 Insight Into US Growth Companies With High Insider Ownership
Over the past year, the United States stock market has experienced a robust growth of 25%, despite a recent flat performance in the last week. In this context, growth companies with high insider ownership can be particularly compelling, as they often signal confidence from those who know the company best.
Top 10 Growth Companies With High Insider Ownership In The United States
Name | Insider Ownership | Earnings Growth |
GigaCloud Technology (NasdaqGM:GCT) | 25.9% | 21.3% |
PDD Holdings (NasdaqGS:PDD) | 32.1% | 23.2% |
Atour Lifestyle Holdings (NasdaqGS:ATAT) | 26% | 21.7% |
Super Micro Computer (NasdaqGS:SMCI) | 14.3% | 40.2% |
Bridge Investment Group Holdings (NYSE:BRDG) | 11.6% | 98.2% |
EHang Holdings (NasdaqGM:EH) | 33% | 101.9% |
Carlyle Group (NasdaqGS:CG) | 29.2% | 23.6% |
ZKH Group (NYSE:ZKH) | 17.7% | 102.8% |
BBB Foods (NYSE:TBBB) | 23.6% | 92.4% |
Madrigal Pharmaceuticals (NasdaqGS:MDGL) | 10.2% | 64.3% |
We'll examine a selection from our screener results.
Atour Lifestyle Holdings
Simply Wall St Growth Rating: ★★★★★★
Overview: Atour Lifestyle Holdings Limited operates in the People’s Republic of China, focusing on developing lifestyle brands centered around its hotel offerings, with a market capitalization of approximately $2.42 billion.
Operations: The company generates its revenue primarily from its hotel offerings in the People’s Republic of China.
Insider Ownership: 26%
Revenue Growth Forecast: 20.1% p.a.
Atour Lifestyle Holdings has demonstrated robust financial performance with significant growth in earnings and revenue, highlighted by a year-over-year net income increase from CNY 17.88 million to CNY 257.16 million in Q1 2024. Despite past shareholder dilution, the company's forecasted annual earnings growth of 21.7% and revenue growth of 20.1% per year are both poised to outpace the US market averages significantly. This performance is underpinned by strong insider ownership, aligning leadership interests with shareholder value creation, though it trades at a discount to its estimated fair value suggesting potential undervaluation issues or market skepticism about sustained growth rates.
Hesai Group
Simply Wall St Growth Rating: ★★★★★☆
Overview: Hesai Group operates globally, developing, manufacturing, and selling three-dimensional light detection and ranging (LiDAR) solutions with a market capitalization of approximately $591.50 million.
Operations: The company generates its revenue from the development, manufacture, and sale of LiDAR solutions across Mainland China, Europe, and North America.
Insider Ownership: 24.4%
Revenue Growth Forecast: 26.2% p.a.
Hesai Group, currently trading at a significant discount to its estimated fair value, is poised for substantial growth with revenue expected to increase by 26.2% annually, outpacing the US market forecast of 8.4%. Despite recent earnings showing a net loss, projections indicate profitability within three years with an anticipated earnings growth of 69.51% per year. However, the company's share price has been highly volatile recently and its Return on Equity is forecasted to be low at 12.5%.
PDD Holdings
Simply Wall St Growth Rating: ★★★★★★
Overview: PDD Holdings Inc., a multinational commerce group, operates a diverse portfolio of businesses with a market capitalization of approximately $218.83 billion.
Operations: The company generates CN¥296.81 billion from its Internet Software & Services segment.
Insider Ownership: 32.1%
Revenue Growth Forecast: 21.2% p.a.
PDD Holdings Inc. has shown robust financial performance with its recent quarterly earnings more than tripling year-over-year, reflecting a significant growth in sales and net income. The company's revenue and earnings are expected to grow at 21.2% and 23.2% per year respectively, outpacing the US market averages significantly. Despite high insider ownership typically signaling confidence in the company's prospects, there has been no substantial insider buying reported in the past three months, suggesting a potential area for investor caution.
Summing It All Up
Take a closer look at our Fast Growing US Companies With High Insider Ownership list of 176 companies by clicking here.
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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 NasdaqGS:ATAT NasdaqGS:HSAI and NasdaqGS:PDD.
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