As global markets react to the recent Federal Reserve rate cut, Sweden's stock market has been navigating its own set of economic dynamics. Amidst this backdrop, investors are increasingly focusing on growth companies with high insider ownership, which can often signal strong confidence in the company's future prospects. In this article, we will explore three top growth companies listed on the Swedish Exchange that boast significant insider ownership.
Top 10 Growth Companies With High Insider Ownership In Sweden
Overview: EQT AB (publ) is a global private equity firm specializing in private capital and real asset segments, with a market cap of approximately SEK 431.19 billion.
Operations: The company's revenue segments include Central (€37.20 million), Real Assets (€878.70 million), and Private Capital (€1.28 billion).
Insider Ownership: 30.9%
Earnings Growth Forecast: 35.4% p.a.
EQT AB (publ) is a significant growth company in Sweden with high insider ownership. The firm's earnings are forecast to grow at 35.39% annually, outpacing the Swedish market's 15.1%. Recent activities include exploring a $2 billion sale of Banking Circle and competing for Singapore Post Limited's $1 billion Australian business. Despite substantial insider buying in recent months, there has been notable insider selling as well. EQT’s revenue is expected to grow at 15.4% per year, faster than the Swedish market average of 0.9%.
Overview: Fortnox AB (publ) offers financial and administrative software solutions for small and medium-sized businesses, accounting firms, and organizations, with a market cap of SEK40.14 billion.
Operations: The company's revenue segments include Core Products (SEK734 million), Businesses (SEK378 million), Accounting Firms (SEK352 million), Financial Services (SEK249 million), and Marketplaces (SEK160 million).
Insider Ownership: 21.1%
Earnings Growth Forecast: 22.6% p.a.
Fortnox AB is a growth company in Sweden with significant insider ownership. Recent earnings reports show strong performance, with Q2 sales at SEK 515 million and net income at SEK 164 million. Revenue and earnings are forecast to grow over 20% annually, outpacing the Swedish market's growth rates. Insider activity has been positive, with substantial buying but no significant selling in the past three months. A special shareholders meeting is scheduled for August 27, 2024.
Overview: NIBE Industrier AB (publ) develops, manufactures, markets, and sells energy-efficient solutions for indoor climate comfort and intelligent heating and control components internationally, with a market cap of approximately SEK 98.10 billion.
Operations: The company's revenue segments are comprised of SEK 5.33 billion from Stoves, SEK 13.48 billion from Element, and SEK 35.22 billion from Climate Solutions.
Insider Ownership: 20.2%
Earnings Growth Forecast: 42.5% p.a.
NIBE Industrier, a growth company in Sweden with high insider ownership, faces mixed prospects. Earnings are forecast to grow 42.55% annually, outpacing the Swedish market's 15.1%. However, recent financials show a decline: Q2 sales dropped to SEK 10.04 billion from SEK 11.83 billion last year and net income fell to SEK 219 million from SEK 1.32 billion. Despite trading below fair value by 3.7%, interest payments are not well covered by earnings and return on equity is expected to be low at 11.9% in three years.
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 OM:EQT OM:FNOX and OM:NIBE B.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]
