3 US growth companies with high insider ownership

As the Dow Jones Industrial Average hits new highs and investors await a decisive decision from the Federal Reserve, the focus on growth companies with high insider ownership becomes especially important. In this environment, stocks with significant insider ownership can be attractive due to their potential for alignment of interests between management and shareholders, which can promote long-term growth and stability.

The 10 largest growth companies with high insider ownership in the USA

Click here to see the full list of 175 stocks from our Fast-Growing US Companies with High Insider Ownership screener.

Below we present a selection of stocks that our filter has filtered out.

Simply Wall St Growth Rating: ★★★★☆☆

Overview: ChromaDex Corporation is a life sciences company focused on developing healthy aging products with a market capitalization of $270.16 million.

Operations: ChromaDex Corporation generates revenues in three primary segments: Ingredients ($11.70 million), Consumer Products ($71.00 million), and Analytical Reference Standards and Services ($2.88 million).

Insider ownership: 30.7%

Sales growth forecast: 18% per annum

ChromaDex, a growth company with many insiders, is expected to grow revenue by 18% per year, outperforming the U.S. market. Despite recent volatility in its share price, it trades 51.8% below fair value estimates and has shown steady earnings growth of 29.3% per year over the past five years. The company is targeting profitability within three years and recently secured $32 million through a private placement with Brilliant Dynasty Limited, while reiterating its annual revenue growth forecast of 10% to 15%.

Simply Wall St Growth Rating: ★★★★★★

Overview: Victory Capital Holdings, Inc., together with its subsidiaries, operates as an asset management company both in the United States and internationally and has a market capitalization of approximately $3.37 billion.

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Operations: The company generates revenue of $850.96 million from its investment management services and products.

Insider ownership: 10.2%

Sales growth forecast: 22.8% per annum

Victory Capital Holdings is expected to grow revenues by 22.8% per year, significantly outperforming the U.S. market. The company's earnings have grown 14.4% annually over the past five years and are expected to grow 32.3% per year going forward. Despite high debt and unstable dividend history, the company trades at a significant discount of 65.4% to estimated fair value and continues to have strong insider ownership, improving alignment with shareholder interests.

Simply Wall St Growth Rating: ★★★★★☆

Overview: XPeng Inc. designs, develops, manufactures and markets smart electric vehicles (EVs) in the People's Republic of China with a market capitalization of $8.50 billion.

Operations: The company generates its revenue mainly from the automobile manufacturer segment, which reported CNY 36.24 billion.

Insider ownership: 23.5%

Sales growth forecast: 25.5% per annum

XPeng Inc. has significant growth potential with high insider ownership, as evidenced by recent sizable insider purchases. The company is expected to be profitable within three years and outperform the average market growth. Revenue is expected to grow at a 25.5% annual rate, significantly faster than the U.S. market at 8.8%. Despite past shareholder dilution and a projected low return on equity of 6.2%, XPeng trades at a notable 23.2% discount to estimated fair value, highlighting its strong growth trajectory and commitment to innovation in AI-driven smart electric vehicles.

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This Simply Wall St article is of a general nature. We comment solely on the basis of historical data and analyst forecasts, using an unbiased methodology. Our articles do not constitute financial advice. This is not a recommendation to buy or sell any stock and does not take into account your objectives or financial situation. Our goal is to provide you with long-term analysis based on fundamental data. Note that our analysis may not take into account the latest price-sensitive company announcements or qualitative materials. Simply Wall St does not own any shares in the stocks mentioned. The analysis only considers shares held directly by insiders. It does not include shares held indirectly through other vehicles such as corporations and/or trusts. All forecasted sales and earnings growth rates refer to annualized (per year) growth rates over 1-3 years.

Companies discussed in this article include NasdaqCM:CDXC, NasdaqGS:VCTR and NYSE:XPEV.

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