As global markets exhibit mixed performances with a notable pivot towards value and small-cap stocks, the Swedish market remains a point of interest for those looking at growth companies with substantial insider ownership. In Sweden, where high insider ownership can signal strong confidence in company prospects, analyzing such stocks could be particularly relevant in the current economic climate.
Top 10 Growth Companies With High Insider Ownership In Sweden
Overview: RaySearch Laboratories AB, a medical technology company based in Sweden, specializes in developing software solutions for cancer treatment across various global regions and has a market capitalization of approximately SEK 4.79 billion.
Operations: The company generates its revenue primarily from healthcare software, totaling SEK 1.05 billion.
Insider Ownership: 24.1%
RaySearch Laboratories, a Swedish company with high insider ownership, recently launched RayStation? 2024B, enhancing radiation therapy efficiency through automated clinical workflows. This innovation follows their strategic alliance with C-RAD to integrate surface scanning technologies into treatment planning. Financially, RaySearch reported a significant earnings increase in Q1 2024 and is expected to continue robust growth with projected annual earnings expansion of 33.62%. However, it trades at a substantial discount to its estimated fair value.
Overview: Scandi Standard AB (publ) specializes in the production and sale of chilled, frozen, and ready-to-eat chicken products across Sweden, Norway, Ireland, Denmark, Finland, Germany, the United Kingdom and other European countries with a market capitalization of SEK 4.89 billion.
Operations: The company generates revenue primarily through its ready-to-cook chicken products, which brought in SEK 9.70 billion, and its ready-to-eat offerings, contributing SEK 2.61 billion.
Insider Ownership: 14.5%
Scandi Standard, a Swedish growth company with substantial insider buying over the past three months, demonstrates promising financial maneuvers with its recent SEK 3.20 billion sustainability-linked bank loan aimed at bolstering long-term growth. Despite a slight dip in quarterly sales and earnings, the firm is positioned for significant earnings growth of 20.4% annually over the next three years, outpacing the broader Swedish market's expectations. However, its high debt levels and unstable dividend track record suggest cautious optimism is warranted.
Overview: Surgical Science Sweden AB, with a market cap of SEK 6.53 billion, specializes in developing and marketing virtual reality simulators for evidence-based medical training across Europe, North and South America, and Asia.
Operations: The company generates revenue primarily through two segments: Industry/OEM at SEK 387.52 million and Educational Products at SEK 454.50 million.
Insider Ownership: 26.6%
Surgical Science Sweden, amidst executive changes with Tom Englund set to become CEO, is trading at a very large discount to its estimated fair value. While its return on equity is expected to remain low at 6.2%, earnings are projected to grow by 27% annually over the next three years, outstripping the Swedish market's 15%. However, revenue growth forecasts of 17.2% per year slightly lag behind the high-growth benchmark but still surpass the broader market's expectation of 1%.
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:RAY B OM:SCST and OM:SUS.
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