In the current Australian market landscape, the ASX200 has seen a modest increase of 0.21%, with sectors like Discretionary, Utilities, and Industrials leading the charge. In this context of sectoral strength and market resilience, identifying growth companies with strong insider ownership can be a strategic approach for investors seeking to align their interests with those who have significant stakes in their company's success.
Top 10 Growth Companies With High Insider Ownership In Australia
Overview: Cettire Limited operates as an online luxury goods retailer in Australia, the United States, and internationally with a market cap of A$503.23 million.
Operations: The company's revenue is primarily generated from online retail sales, amounting to A$742.26 million.
Insider Ownership: 33.5%
Return On Equity Forecast: 34% (2027 estimate)
Cettire's growth prospects are underscored by its forecasted revenue and earnings growth, expected to outpace the broader Australian market. Trading significantly below its estimated fair value, Cettire presents a potentially attractive opportunity for investors. However, recent insider activity shows more buying than selling but not in substantial volumes. Despite a volatile share price and declining profit margins from 3.8% to 1.4%, its future Return on Equity is projected to be strong at 34.1%.
Overview: Pinnacle Investment Management Group Limited is an investment management company based in Australia with a market cap of A$5 billion.
Operations: The company's revenue segment includes Funds Management Operations of Pinnacle, generating A$48.99 million.
Insider Ownership: 28.2%
Return On Equity Forecast: 21% (2027 estimate)
Pinnacle Investment Management Group's growth trajectory is supported by earnings and revenue forecasts that exceed the Australian market averages, with earnings expected to grow at 16.5% annually. Recent follow-on equity offerings, totaling A$425 million, suggest strategic capital raising efforts. Despite no significant insider trading activity in the past three months, Pinnacle's projected Return on Equity of 20.8% in three years highlights its potential for robust future performance amidst a competitive landscape.
Overview: PWR Holdings Limited specializes in the design, prototyping, production, testing, validation, and sale of cooling products and solutions across various international markets including Australia, the United States, and Europe with a market cap of A$769.31 million.
Operations: The company's revenue segments include PWR C&R at A$41.98 million and PWR Performance Products at A$111.26 million.
Insider Ownership: 13.2%
Return On Equity Forecast: 26% (2027 estimate)
PWR Holdings is trading at 10.1% below its estimated fair value, with earnings forecasted to grow 15.57% annually, outpacing the Australian market average of 12.6%. Revenue is also expected to increase at a rate of 12% per year, faster than the market's 5.9%. Despite no significant insider trading in recent months, PWR's Return on Equity is projected to reach a robust 26.5% within three years, indicating strong potential for sustained growth.
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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 ASX:CTT ASX:PNI and ASX:PWH.
