As of August 2024, the U.S. stock market has experienced a downturn, with major indices like the S&P 500 and Nasdaq Composite falling due to declines in large-cap tech stocks ahead of Nvidia's earnings report. Investors are closely monitoring economic indicators and Federal Reserve signals for future interest rate decisions. In this environment, growth companies with high insider ownership can be particularly appealing as they often indicate strong confidence from those who know the business best. Here are three such U.S. growth stocks that stand out in August 2024.
Top 10 Growth Companies With High Insider Ownership In The United States
Overview: Establishment Labs Holdings Inc. is a medical technology company that manufactures and markets medical devices for aesthetic and reconstructive plastic surgery, with a market cap of $1.29 billion.
Operations: The company generates $151.35 million in revenue from its medical products segment.
Insider Ownership: 10%
Earnings Growth Forecast: 67.9% p.a.
Establishment Labs Holdings, a growth company with high insider ownership, reported second-quarter 2024 sales of US$44.12 million and a net loss of US$17.18 million. Despite recent financial challenges, including shareholder dilution and less than one year of cash runway, the company is expected to see annual revenue growth of 25.6% and become profitable within three years. Revenue guidance for 2024 remains at US$174 million to US$184 million, indicating potential future performance improvements.
Overview: Lindblad Expeditions Holdings, Inc. offers marine expedition adventures and travel experiences globally, with a market cap of $577.77 million.
Operations: The company's revenue segments include $405.86 million from marine expedition adventures and $185.61 million from land experiences.
Insider Ownership: 32.1%
Earnings Growth Forecast: 101.9% p.a.
Lindblad Expeditions Holdings, known for high insider ownership, is forecast to grow revenue at 9.4% annually and become profitable within three years. Recent insider buying suggests confidence despite a net loss of US$24.67 million in Q2 2024 and trading at 36.7% below estimated fair value. The company recently expanded its Galápagos fleet, indicating strategic growth plans amidst ongoing financial challenges and negative shareholders' equity.
Overview: Amerant Bancorp Inc., with a market cap of $723.19 million, operates as the bank holding company for Amerant Bank, N.A.
Operations: Amerant Bancorp generates $327.31 million in revenue from its banking segment.
Insider Ownership: 12.5%
Earnings Growth Forecast: 72.7% p.a.
Amerant Bancorp, with significant insider ownership, is forecast to grow earnings by 72.7% annually over the next three years and revenue at 12.9% per year, outpacing the US market's average. Despite a recent goodwill impairment of US$300,000 and fixed assets impairment of US$3.44 million, it trades at 21.1% below estimated fair value. Recent buybacks and dividend affirmations reflect management's confidence amid declining profit margins and net income compared to last year.
Got skin in the game with these stocks? Elevate how you manage them by using Simply Wall St's portfolio, where intuitive tools await to help optimize your investment outcomes.
Simply Wall St is a revolutionary app designed for long-term stock investors, it's free and covers every market in the world.
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.
