As the ASX200 edges up 0.7% in afternoon trade and gold prices reach new highs amid Middle East tensions, investors are closely watching the Materials and Health Care sectors, which have been leading the market gains. In this environment, growth companies with high insider ownership can be particularly appealing, as they often suggest strong alignment between management and shareholders while potentially delivering robust returns like those seen with a 34% return on equity.

Top 10 Growth Companies With High Insider Ownership In Australia

Click here to see the full list of 98 stocks from our Fast Growing ASX Companies With High Insider Ownership screener.

Here we highlight a subset of our preferred stocks from the screener.

Capricorn Metals

Simply Wall St Growth Rating: ★★★★★☆

Overview: Capricorn Metals Ltd is an Australian company focused on the evaluation, exploration, development, and production of gold properties, with a market cap of A$2.41 billion.

Operations: Capricorn Metals generates its revenue primarily from the Karlawinda gold project, amounting to A$359.73 million.

Insider Ownership: 11.9%

Return On Equity Forecast: 34% (2027 estimate)

Capricorn Metals stands out for its high insider ownership and strong growth prospects. The company's earnings are forecast to grow significantly, surpassing the Australian market average. Recent financial results show a substantial increase in net income to A$87.14 million from A$4.4 million, highlighting robust performance. Additionally, Capricorn's Karlawinda Gold Project expansion study aims to boost throughput by up to 55%, potentially enhancing future revenue streams amidst ongoing industry M&A discussions involving gold assets in Australia.

• Dive into the specifics of Capricorn Metals here with our thorough growth forecast report.

• Our valuation report here indicates Capricorn Metals may be undervalued.

Emerald Resources

Simply Wall St Growth Rating: ★★★★★★

Overview: Emerald Resources NL is involved in the exploration and development of mineral reserves in Cambodia and Australia, with a market cap of A$2.76 billion.

Operations: The company's revenue primarily comes from mine operations, totaling A$366.04 million.

Insider Ownership: 18%

Return On Equity Forecast: 26% (2027 estimate)

Emerald Resources exhibits strong growth potential, with earnings expected to grow significantly, outpacing the Australian market. The company reported a substantial rise in net income to A$84.27 million from A$59.36 million year-on-year, reflecting robust financial health. Despite past shareholder dilution, Emerald trades at a notable discount to its estimated fair value and forecasts high returns on equity. Recent board changes include Simon Lee AO's retirement after significant contributions to the company's development and strategic direction.

• Take a closer look at Emerald Resources' potential here in our earnings growth report.

• The valuation report we've compiled suggests that Emerald Resources' current price could be inflated.

Pinnacle Investment Management Group

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Pinnacle Investment Management Group Limited is an Australian investment management company with a market cap of A$3.87 billion.

Operations: Pinnacle generates revenue primarily from its Funds Management Operations, which amount to A$48.99 million.

Insider Ownership: 31.5%

Return On Equity Forecast: 30% (2027 estimate)

Pinnacle Investment Management Group shows promising growth prospects, with earnings forecasted to grow 14.4% annually, outpacing the Australian market. Recent financial results highlight a net income increase to A$90.35 million from A$76.47 million year-on-year, indicating solid performance. The company's Return on Equity is projected to be high at 29.8% in three years, supporting its growth narrative. Board changes include Christina Lenard's appointment as Director, potentially influencing strategic direction positively.

• Click here to discover the nuances of Pinnacle Investment Management Group with our detailed analytical future growth report.

• Our comprehensive valuation report raises the possibility that Pinnacle Investment Management Group is priced higher than what may be justified by its financials.

Where To Now?

• Reveal the 98 hidden gems among our Fast Growing ASX Companies With High Insider Ownership screener with a single click here.

• Already own these companies? Link your portfolio to Simply Wall St and get alerts on any new warning signs to your stocks.

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Ready To Venture Into Other Investment Styles?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.

• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.

• Find companies with promising cash flow potential yet trading below their fair value.

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:CMM ASX:EMR and ASX:PNI.

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