The market in the United Kingdom has remained flat over the past week but has seen a 10% increase over the past year, with earnings projected to grow by 14% annually in the coming years. In this environment, growth companies with high insider ownership can be particularly attractive as they often signal strong internal confidence and alignment with shareholders' interests.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: M&C Saatchi plc offers advertising and marketing communications services across the UK, Europe, the Middle East, Africa, the Asia Pacific, and the Americas with a market cap of ￡259.19 million.
Operations: M&C Saatchi plc generates revenue from advertising and marketing communications services across the UK, Europe, the Middle East, Africa, the Asia Pacific, and the Americas.
Insider Ownership: 16.1%
Earnings Growth Forecast: 43.7% p.a.
M&C Saatchi is forecasted to become profitable within three years, with earnings expected to grow 43.75% annually. Despite this, the company faces a projected annual revenue decline of 14.2%. Recent executive changes include Simon Fuller replacing Bruce Marson as CFO on July 1, 2024. The stock trades at a significant discount (52.7%) to its estimated fair value and boasts a very high forecasted return on equity of 45.5% in three years.
Overview: Energean plc is involved in the exploration, production, and development of oil and gas with a market cap of ￡1.78 billion.
Operations: Energean's revenue primarily comes from its Oil & Gas - Exploration & Production segment, totaling $1.42 billion.
Insider Ownership: 10.6%
Earnings Growth Forecast: 14.6% p.a.
Energean plc, with strong insider ownership, is expanding its portfolio through strategic projects like the Cassiopea field in Italy and the Katlan development in Israel. Despite a high debt level and recent shareholder dilution, Energean's earnings grew by 970.8% last year and are forecasted to grow at 14.6% annually, outpacing the UK market. The stock trades at a significant discount (53.4%) to its estimated fair value but has limited substantial insider buying recently.
Overview: TBC Bank Group PLC, with a market cap of ￡1.70 billion, offers banking, leasing, insurance, brokerage, and card processing services to corporate and individual customers in Georgia, Azerbaijan, and Uzbekistan through its subsidiaries.
Operations: The company generates revenue from its operations in Uzbekistan (GEL 236.42 million) and segment adjustments (GEL 2132.38 million).
Insider Ownership: 17.6%
Earnings Growth Forecast: 15.3% p.a.
TBC Bank Group, with significant insider ownership, has reported robust earnings growth. For the first half of 2024, net interest income rose to GEL 862.2 million from GEL 727.11 million a year ago, while net income increased to GEL 617.4 million from GEL 537.46 million. Despite an unstable dividend track record and past shareholder dilution, TBCG's revenue and earnings are forecasted to grow faster than the UK market at rates of 18.9% and 15.27% annually respectively, trading at a substantial discount (47.6%) to its fair value estimate.
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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 AIM:SAA LSE:ENOG and LSE:TBCG.
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