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High Insider Ownership Growth Companies On Chinese Exchanges June 2024

Amidst a backdrop of mixed economic signals from China, where industrial production has shown weaker growth and new home prices continue their decline, investors are closely watching shifts in market dynamics. In such an environment, growth companies with high insider ownership on Chinese exchanges could offer unique insights into corporate confidence and potential resilience.

Top 10 Growth Companies With High Insider Ownership In China

Name

Insider Ownership

Earnings Growth

KEBODA TECHNOLOGY (SHSE:603786)

12.8%

25.1%

Suzhou Shijing Environmental TechnologyLtd (SZSE:301030)

22%

54.9%

Cubic Sensor and InstrumentLtd (SHSE:688665)

10.1%

34.3%

Anhui Huaheng Biotechnology (SHSE:688639)

31.5%

28.4%

Sineng ElectricLtd (SZSE:300827)

36.5%

39.8%

Ningbo Deye Technology Group (SHSE:605117)

24.8%

28.5%

Arctech Solar Holding (SHSE:688408)

38.6%

25.8%

Eoptolink Technology (SZSE:300502)

26.7%

39.1%

Fujian Wanchen Biotechnology Group (SZSE:300972)

14.9%

75.9%

UTour Group (SZSE:002707)

24%

33.1%

Click here to see the full list of 364 stocks from our Fast Growing Chinese Companies With High Insider Ownership screener.

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

Guobang Pharma

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Guobang Pharma Ltd. specializes in the research, development, production, and sale of pharmaceutical and veterinary products, with a market capitalization of approximately CN¥9.64 billion.

Operations: The company generates revenue through the pharmaceutical and veterinary sectors.

Insider Ownership: 12.7%

Guobang Pharma, a growth-oriented firm in China with high insider ownership, shows promising financial dynamics despite some challenges. Recent earnings reveal a slight decline in revenue to CNY 1.34 billion from CNY 1.41 billion year-over-year, though net income increased marginally to CNY 198.73 million. Analysts forecast robust earnings growth at an annual rate of 22.51%, outpacing the broader Chinese market's average, although the company's Return on Equity is expected to remain low at 11.8% in three years' time.

SHSE:605507 Earnings and Revenue Growth as at Jun 2024
SHSE:605507 Earnings and Revenue Growth as at Jun 2024

Kunshan GuoLi Electronic Technology

Simply Wall St Growth Rating: ★★★★★☆

Overview: Kunshan GuoLi Electronic Technology Co., Ltd. operates in the electronics sector with a market capitalization of approximately CN¥3.20 billion.

Operations: The company generates revenue primarily through the research, development, production, and sales of vacuum devices, totaling CN¥707.64 million.

Insider Ownership: 32%

Kunshan GuoLi Electronic Technology, despite recent challenges including being dropped from the S&P Global BMI Index, shows potential in growth metrics. The company reported a decrease in net income to CNY 4.16 million from CNY 11.43 million year-over-year but is expected to see significant earnings growth at an annual rate of 70.7%, well above the Chinese market average of 22.5%. However, its current dividend yield of 0.69% is poorly covered by cash flows, reflecting some financial strain.

SHSE:688103 Ownership Breakdown as at Jun 2024
SHSE:688103 Ownership Breakdown as at Jun 2024

PharmaResources (Shanghai)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: PharmaResources (Shanghai) Co., Ltd. provides CRO, CDMO, and CMO services for drug discovery in China, with a market capitalization of approximately CN¥3.47 billion.

Operations: The company generates revenue through its services in contract research (CRO), contract development and manufacturing (CDMO), and contract manufacturing (CMO) within the pharmaceutical sector.

Insider Ownership: 13.9%

PharmaResources (Shanghai) has shown a mixed financial performance with recent quarterly earnings reflecting a significant drop in net income to CNY 3.67 million from CNY 15.28 million year-over-year, despite steady revenue growth. The company's annual earnings are forecasted to grow at an impressive rate of 35.08% per year, outpacing the Chinese market average. However, its profit margins have declined and its share price has been highly volatile over the past three months, indicating potential risks for investors seeking stability.

SZSE:301230 Earnings and Revenue Growth as at Jun 2024
SZSE:301230 Earnings and Revenue Growth as at Jun 2024

Summing It All Up

Ready For A Different Approach?

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 SHSE:605507SHSE:688103 SZSE:301230

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