The United Kingdom market has shown positive momentum, climbing 1.3% in the last 7 days and up 8.1% over the past 12 months, with earnings forecasted to grow by 13% annually. In this favorable environment, growth companies with high insider ownership often stand out as they signal confidence from those who know the business best and can potentially offer robust returns.
Top 10 Growth Companies With High Insider Ownership In The United Kingdom
Overview: RWS Holdings plc offers technology-enabled language, content, and intellectual property (IP) services with a market cap of £700.51 million.
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%
Earnings Growth Forecast: 67.4% p.a.
RWS Holdings, a growth company with high insider ownership, recently launched Trados Studio 2024 and AI-enhanced Tridion Docs 15.1 to boost productivity and accessibility. Despite a drop in half-year sales to £350.3 million and net income to £11.1 million, the firm maintains strong financial health with a cash-generative model. Analysts forecast above-market revenue growth of 4.2% annually, although the dividend yield of 6.45% is not well covered by earnings or free cash flows.
Overview: Foresight Group Holdings Limited is an infrastructure and private equity manager operating in the UK, Italy, Luxembourg, Ireland, Spain, and Australia with a market cap of £600.97 million.
Operations: The company's revenue segments include £84.17 million from Infrastructure, £47.35 million from Private Equity, and £9.80 million from Foresight Capital Management.
Insider Ownership: 31.9%
Earnings Growth Forecast: 27.9% p.a.
Foresight Group Holdings has demonstrated robust financial performance, with annual earnings growing by 11.9% and revenue reaching £141.33 million for the year ended March 31, 2024. Despite a dividend yield of 4.25% not being well covered by earnings, the company is valued at 29.8% below its estimated fair value and has high insider ownership. Analysts forecast significant annual profit growth of 27.88%, outpacing the UK market's average growth rate, supported by strong future Return on Equity projections of 43.6%.
Overview: Hochschild Mining plc is a precious metals company involved in the exploration, mining, processing, and sale of gold and silver deposits across Peru, Argentina, the United States, Canada, Brazil, and Chile with a market cap of £933.23 million.
Operations: Revenue Segments (in millions of $): San Jose: $242.46, Inmaculada: $396.64, Pallancata: $54.05
Insider Ownership: 38.4%
Earnings Growth Forecast: 53.8% p.a.
Hochschild Mining is trading at 41% below its estimated fair value, with analysts forecasting a 26.6% price rise. Insiders have been substantial net buyers in the past three months, signaling confidence. The company expects annual revenue growth of 11.1%, outpacing the UK market's 3.5%. Earnings are projected to grow by 53.78% per year, becoming profitable within three years and achieving a high Return on Equity of 20%. Recent production guidance reaffirms strong operational performance for gold and silver equivalents in H1 2024.
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:FSG and LSE:HOC.
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