Exploring Three SEHK Growth Companies With High Insider Ownership

Amid a backdrop of global economic adjustments and market shifts, the Hong Kong stock market has shown resilience, with the Hang Seng Index recently marking a notable gain. This sets an intriguing stage for investors interested in growth companies with high insider ownership, which are often characterized by aligned interests between shareholders and management, potentially fostering robust corporate governance and strategic agility in evolving markets.

Top 10 Growth Companies With High Insider Ownership In Hong Kong

Name	Insider Ownership	Earnings Growth
iDreamSky Technology Holdings (SEHK:1119)	20.1%	104.1%
New Horizon Health (SEHK:6606)	16.6%	61%
Meitu (SEHK:1357)	38%	34.3%
Adicon Holdings (SEHK:9860)	22.3%	29.6%
DPC Dash (SEHK:1405)	38.2%	91.5%
Tian Tu Capital (SEHK:1973)	34%	70.5%
Beijing Airdoc Technology (SEHK:2251)	26.7%	83.9%
Zhejiang Leapmotor Technology (SEHK:9863)	14.2%	76%
Biocytogen Pharmaceuticals (Beijing) (SEHK:2315)	15.7%	100.1%
Ocumension Therapeutics (SEHK:1477)	17.7%	93.7%

Click here to see the full list of 52 stocks from our Fast Growing SEHK Companies With High Insider Ownership screener.

Underneath we present a selection of stocks filtered out by our screen.

Kuaishou Technology

Simply Wall St Growth Rating: ★★★★★☆

Overview: Kuaishou Technology operates as an investment holding company in China, offering services such as live streaming and online marketing, with a market capitalization of approximately HK$252.09 billion.

Operations: The company generates revenue primarily from domestic operations, amounting to CN¥111.19 billion, and a smaller segment from overseas activities totaling CN¥2.28 billion.

Insider Ownership: 19.3%

Earnings Growth Forecast: 29.9% p.a.

Kuaishou Technology, a growth-oriented company with high insider ownership in Hong Kong, has demonstrated a robust financial turnaround. Recently reporting a substantial increase in quarterly sales to CNY 29.41 billion and shifting from a net loss to a profit of CNY 4.12 billion, the firm shows promising operational improvements. Further bolstering investor confidence, Kuaishou has initiated a significant share repurchase program valued at HK$16 billion, underlining strong internal belief in the company's valuation and future prospects. Analysts project an annual earnings growth of 29.9%, outpacing the broader Hong Kong market significantly.

• Unlock comprehensive insights into our analysis of Kuaishou Technology stock in this growth report.

• Insights from our recent valuation report point to the potential undervaluation of Kuaishou Technology shares in the market.

SEHK:1024 Earnings and Revenue Growth as at May 2024

Dongyue Group

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Dongyue Group Limited operates as an investment holding company that manufactures and distributes polymers, organic silicone, refrigerants, and other chemical products across China and globally, with a market capitalization of approximately HK$16.43 billion.

Operations: The company generates revenue from several segments, including polymers (CN¥4.55 billion), refrigerants (CN¥5.48 billion), organic silicon (CN¥4.86 billion), and dichloromethane PVC with liquid alkali (CN¥1.21 billion).

Insider Ownership: 15.4%

Earnings Growth Forecast: 35.7% p.a.

Dongyue Group, a company with high insider ownership in Hong Kong, faces mixed financial dynamics. While its earnings are expected to grow by 35.7% annually, surpassing the local market's growth rate of 12.2%, its recent performance has been underwhelming with a significant decrease in net profit and revenue from the previous year due to lower market prices for its products. Additionally, recent executive changes and a reduced dividend suggest potential challenges in maintaining stability and growth momentum.

• Navigate through the intricacies of Dongyue Group with our comprehensive analyst estimates report here.

• Upon reviewing our latest valuation report, Dongyue Group's share price might be too optimistic.

SEHK:189 Earnings and Revenue Growth as at May 2024

Beijing Fourth Paradigm Technology

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Beijing Fourth Paradigm Technology Co., Ltd. is an investment holding company that offers platform-centric artificial intelligence solutions in the People's Republic of China, with a market capitalization of approximately HK$24.22 billion.

Operations: The company generates revenue through three primary segments: the Sage AI Platform (CN¥2.51 billion), SageGPT AIGS Services (CN¥0.42 billion), and Shift Intelligent Solutions (CN¥1.28 billion).

Insider Ownership: 22.8%

Earnings Growth Forecast: 96% p.a.

Beijing Fourth Paradigm Technology, despite a highly volatile share price, is on a growth trajectory with its revenue increasing by 36.4% last year and expected to grow at 19.3% annually, outpacing the Hong Kong market's 8%. The company is projected to become profitable within three years with earnings potentially growing at an impressive rate annually. A recent share repurchase program could further enhance shareholder value by potentially increasing net asset value and earnings per share.

• Dive into the specifics of Beijing Fourth Paradigm Technology here with our thorough growth forecast report.

• In light of our recent valuation report, it seems possible that Beijing Fourth Paradigm Technology is trading beyond its estimated value.

SEHK:6682 Earnings and Revenue Growth as at May 2024

Next Steps

• Navigate through the entire inventory of 52 Fast Growing SEHK Companies With High Insider Ownership here.

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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 SEHK:1024 SEHK:189 and SEHK:6682.

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