The United Kingdom market has seen a positive trend, rising 1.1% over the last week and 5.9% over the past year, with earnings forecasted to grow by 13% annually. In this favorable environment, growth companies with substantial insider ownership can offer compelling opportunities as they often indicate strong confidence from those closest to the business.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: RWS Holdings plc, with a market cap of ￡662.90 million, offers technology-enabled language, content, and intellectual property (IP) services.
Operations: The company's revenue segments include IP Services (￡105.10 million), Language Services (￡325.40 million), Regulated Industry (￡149.40 million), and Language & Content Technology (L&CT) (￡137.90 million).
Insider Ownership: 24.6%
RWS Holdings, a growth company with high insider ownership, is forecasted to grow revenue at 4.2% per year, outpacing the UK market's 3.5%. Despite recent volatility and lower-than-expected earnings (GBP 11.1 million for H1 2024), insiders have been buying shares recently. The stock trades significantly below its estimated fair value and analysts predict a potential price rise of over 100%. However, its dividend sustainability remains questionable given current earnings coverage issues.
Overview: Kainos Group plc provides digital technology services across the United Kingdom, Ireland, North America, Central Europe, and internationally with a market cap of ￡1.42 billion.
Operations: Kainos Group's revenue segments include ￡213.10 million from Digital Services, ￡57.25 million from Workday Products, and ￡112.04 million from Workday Services.
Insider Ownership: 23.3%
Kainos Group, with substantial insider ownership, is experiencing solid growth. Recent strategic partnerships with Workday and Pulsora are set to enhance its product distribution and ESG reporting capabilities. The company reported a revenue increase to ￡382.39 million and net income of ￡48.72 million for the year ended March 31, 2024. Despite an unstable dividend track record, earnings are forecasted to grow at 13.12% annually, outpacing the UK market's average growth rate.
Overview: TBC Bank Group PLC, with a market cap of ￡1.67 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's revenue segments include banking, leasing, insurance, brokerage, and card processing services provided to corporate and individual customers across Georgia, Azerbaijan, and Uzbekistan.
Insider Ownership: 17.7%
TBC Bank Group, with significant insider ownership, is poised for growth. The company forecasts annual revenue growth of 18.5%, surpassing the UK market's average. Recent earnings reports show net interest income at GEL 442.84 million and net income at GEL 292.81 million for Q1 2024, reflecting year-over-year increases. A share buyback program worth GEL 75 million aims to reduce share capital and enhance shareholder value. However, the stock has been highly volatile recently and maintains a high level of bad loans (2.1%).
Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments.
Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors.
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:RWS LSE:KNOS and LSE:TBCG.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]
