Over the last 7 days, the Indian market has dropped 1.0%, but it has risen by 39% in the past year, with earnings expected to grow by 17% annually over the next few years. In this context, identifying growth companies with high insider ownership can be crucial for investors seeking robust opportunities aligned with positive long-term market trends.
Top 10 Growth Companies With High Insider Ownership In India
Overview: AU Small Finance Bank Limited provides a range of banking and financial services in India, with a market cap of ?522.63 billion.
Operations: AU Small Finance Bank's revenue segments include Treasury (?18.63 billion), Retail Banking (?103.26 billion), Wholesale Banking (?12.74 billion), and Other Banking Operations (?3.78 billion).
Insider Ownership: 24.3%
Revenue Growth Forecast: 24.2% p.a.
AU Small Finance Bank shows strong growth potential with forecasted annual revenue and earnings growth rates of 24.2% and 24.3%, respectively, outpacing the Indian market. The bank's Price-To-Earnings ratio (31.7x) is below the market average, indicating good value. Despite recent penalties totaling INR 27 million related to GST issues, its net income for Q1 2024 increased to INR 5 billion from INR 3.87 billion a year ago, reflecting robust financial performance amidst regulatory challenges.
Overview: Mrs. Bectors Food Specialities Limited manufactures and distributes various food products in India, with a market cap of ?106.23 billion.
Operations: Mrs. Bectors Food Specialities Limited generates ?16.89 billion from its food products segment.
Insider Ownership: 36.2%
Revenue Growth Forecast: 14.7% p.a.
Mrs. Bectors Food Specialities exhibits strong growth potential with earnings forecasted to grow 19.44% annually, outpacing the Indian market's 17%. Recent financial results show a revenue increase to ?4.44 billion and net income of ?354.26 million for Q1 2024. Insider ownership remains high, aligning management interests with shareholders'. However, recent board changes and fundraising initiatives could introduce some uncertainties in the short term while aiming for long-term expansion.
Overview: Chalet Hotels Limited owns, develops, manages, and operates hotels and resorts in India with a market cap of ?193.21 billion.
Operations: The company's revenue segments include Hospitality (Hotels) generating ?13.36 billion and the Rental/Annuity Business contributing ?1.31 billion.
Insider Ownership: 11.8%
Revenue Growth Forecast: 19.5% p.a.
Chalet Hotels demonstrates significant growth potential with earnings forecasted to grow 35.48% annually, surpassing the Indian market's 17%. Despite recent regulatory challenges involving GST demands totaling ?46.34 million, the company remains stable operationally. Revenue for Q1 2024 rose to ?3.69 billion, though net income declined to ?606.69 million from a year ago. Insider ownership is high, aligning management interests with shareholders'. Recent expansions include a planned luxury hotel in Goa on an acquired land parcel worth ?1.37 billion.
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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 NSEI:AUBANK NSEI:BECTORFOOD and NSEI:CHALET.
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