Highlighting Three High Insider Ownership Growth Stocks On US Exchange

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As the U.S. stock market faces volatility ahead of Federal Reserve Chair Jerome Powell's upcoming speech, investors are keenly observing potential rate cuts and their impact on various sectors. Amidst this backdrop, identifying growth companies with high insider ownership can provide valuable insights into stocks that may possess strong internal confidence and long-term potential. In this article, we will explore three such growth stocks listed on U.S. exchanges where insiders hold significant stakes, reflecting their belief in the company's future prospects despite current market uncertainties.

Top 10 Growth Companies With High Insider Ownership In The United States

Name

Insider Ownership

Earnings Growth

Atour Lifestyle Holdings (NasdaqGS:ATAT)

26%

21.6%

Atlas Energy Solutions (NYSE:AESI)

29.1%

42.7%

PDD Holdings (NasdaqGS:PDD)

32.1%

21.7%

GigaCloud Technology (NasdaqGM:GCT)

25.7%

24.1%

Victory Capital Holdings (NasdaqGS:VCTR)

12%

32.3%

Hims & Hers Health (NYSE:HIMS)

13.7%

40.7%

On Holding (NYSE:ONON)

28.4%

24.7%

Credo Technology Group Holding (NasdaqGS:CRDO)

14.3%

60.9%

BBB Foods (NYSE:TBBB)

22.9%

71.8%

EHang Holdings (NasdaqGM:EH)

32.8%

74.9%

Click here to see the full list of 174 stocks from our Fast Growing US Companies With High Insider Ownership screener.

Let's uncover some gems from our specialized screener.

Community West Bancshares

Simply Wall St Growth Rating: ★★★★★☆

Overview: Community West Bancshares, with a market cap of $365.93 million, operates as the bank holding company for Central Valley Community Bank, offering commercial banking services to small and middle-market businesses and individuals in California's central valley.

Operations: Banking operations generated $85.23 million in revenue for Community West Bancshares.

Insider Ownership: 11.9%

Earnings Growth Forecast: 103.6% p.a.

Community West Bancshares has seen substantial insider buying in the past three months, indicating confidence from those within the company. Despite a recent net loss of US$6.29 million for Q2 2024, revenue is forecast to grow at 31.3% annually, outpacing market expectations. However, profit margins have declined significantly from last year. The stock trades below analyst price targets and is expected to see significant earnings growth of 103.6% per year over the next three years.

NasdaqCM:CWBC Earnings and Revenue Growth as at Aug 2024
NasdaqCM:CWBC Earnings and Revenue Growth as at Aug 2024

Franklin Covey

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Franklin Covey Co. offers training and consulting services focused on execution, sales performance, productivity, customer loyalty, and educational improvement for organizations and individuals globally, with a market cap of $514.09 million.

Operations: The company's revenue segments include $73.51 million from the Education Practice, $4.80 million from Corporate and Eliminations, $191.34 million from the Enterprise Division - Direct Offices, and $11.42 million from the Enterprise Division - International Licensees.

Insider Ownership: 15.5%

Earnings Growth Forecast: 30.2% p.a.

Franklin Covey, a growth company with high insider ownership, has shown promising financial performance. Recent earnings reported US$73.37 million in sales for Q3 2024, up from US$71.44 million a year ago, and net income increased to US$5.72 million from US$4.56 million. The launch of the FranklinCovey Mobile App aims to enhance user engagement and learning outcomes significantly. Forecasts suggest revenue growth of 10.2% annually and earnings growth of 30.2% per year, outpacing the broader market expectations.

NYSE:FC Ownership Breakdown as at Aug 2024
NYSE:FC Ownership Breakdown as at Aug 2024

P10

Simply Wall St Growth Rating: ★★★★☆☆

Overview: P10, Inc. (NYSE:PX) operates as a multi-asset class private market solutions provider in the alternative asset management industry in the United States with a market cap of $1.13 billion.

Operations: P10 generates $259.20 million in revenue from its asset management segment.

Insider Ownership: 32.1%

Earnings Growth Forecast: 78.1% p.a.

P10 has demonstrated significant growth potential, with earnings forecasted to grow 78.15% annually, far outpacing the US market average. Recent insider activity shows substantial buying over the past three months, indicating strong internal confidence. The company reported Q2 2024 revenue of US$71.08 million and net income of US$6.99 million, both up from a year ago. However, profit margins have decreased from last year’s figures and interest payments are not well covered by earnings.

NYSE:PX Ownership Breakdown as at Aug 2024
NYSE:PX Ownership Breakdown as at Aug 2024

Taking Advantage

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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 NasdaqCM:CWBC NYSE:FC and NYSE:PX.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com

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