Discover 3 TSX Growth Stocks With Strong Insider Ownership

Simply Wall St · 10/25 12:33

The Canadian stock market has been experiencing a robust year, with the TSX up over 17%, reflecting a growing economy and favorable central bank policies. In this thriving environment, growth companies with high insider ownership stand out as they often indicate strong confidence from those who know the business best, potentially aligning well with ongoing market trends.

Top 10 Growth Companies With High Insider Ownership In Canada

Name Insider Ownership Earnings Growth
Vox Royalty (TSX:VOXR) 11.8% 70.7%
Almonty Industries (TSX:AII) 17.7% 117.6%
goeasy (TSX:GSY) 21.2% 16.6%
Alvopetro Energy (TSXV:ALV) 19.4% 76.5%
VersaBank (TSX:VBNK) 13.3% 30.4%
Aya Gold & Silver (TSX:AYA) 10.2% 71.4%
Aritzia (TSX:ATZ) 18.9% 59.7%
Ivanhoe Mines (TSX:IVN) 12.3% 69.8%
Allied Gold (TSX:AAUC) 17.7% 70.7%
Medicenna Therapeutics (TSX:MDNA) 15.3% 57.2%

Click here to see the full list of 35 stocks from our Fast Growing TSX Companies With High Insider Ownership screener.

Let's explore several standout options from the results in the screener.

Allied Gold (TSX:AAUC)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Allied Gold Corporation, along with its subsidiaries, is involved in the exploration and production of mineral deposits in Africa and has a market cap of CA$1.30 billion.

Operations: The company's revenue segments include $142.03 million from the Agbaou Mine, $193.93 million from the Bonikro Mine, and $391.07 million from the Sadiola Mine.

Insider Ownership: 17.7%

Earnings Growth Forecast: 70.7% p.a.

Allied Gold Corporation has demonstrated significant insider confidence, with substantial insider buying over the past three months. The company's revenue is forecast to grow at 20.2% annually, outpacing the Canadian market's growth rate. Despite recent shareholder dilution, Allied Gold is trading at a good value relative to peers and industry standards. Recent developments include a CAD 192.2 million follow-on equity offering and an ambitious expansion of the Sadiola Gold Mine, indicating strategic growth initiatives underway.

TSX:AAUC Earnings and Revenue Growth as at Oct 2024
TSX:AAUC Earnings and Revenue Growth as at Oct 2024

Colliers International Group (TSX:CIGI)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Colliers International Group Inc. offers commercial real estate and investment management services to corporate and institutional clients across various regions, with a market cap of CA$10.33 billion.

Operations: The company's revenue is derived from several segments: Americas ($2.59 billion), Asia Pacific ($614.55 million), Investment Management ($496.42 million), and Europe, Middle East & Africa (EMEA) ($734.93 million).

Insider Ownership: 14.1%

Earnings Growth Forecast: 20.8% p.a.

Colliers International Group showcases insider confidence with more shares bought than sold recently. The company reported a significant turnaround in profitability, with net income of US$36.72 million in Q2 2024 compared to a loss the previous year. Revenue growth is projected at 10.4% annually, surpassing the Canadian market average of 7.3%. However, shareholders experienced dilution over the past year, and debt coverage remains an area for improvement despite robust earnings forecasts.

TSX:CIGI Ownership Breakdown as at Oct 2024
TSX:CIGI Ownership Breakdown as at Oct 2024

Dye & Durham (TSX:DND)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Dye & Durham Limited offers cloud-based software and technology solutions for law firms, financial service institutions, sole-practitioner law firms, and government organizations across Canada, Australia, South Africa, Ireland, and the United Kingdom with a market cap of CA$1.29 billion.

Operations: The company generates revenue of CA$457.70 million from its Internet Software & Services segment.

Insider Ownership: 14.9%

Earnings Growth Forecast: 121.3% p.a.

Dye & Durham is navigating a complex landscape with activist shareholders challenging its leadership and strategic direction. Despite this, the company is forecasted to achieve profitability within three years, exceeding market growth expectations. Trading at 23.8% below estimated fair value and at a lower EBITDA multiple compared to peers, it presents potential upside if management issues are resolved. However, past shareholder dilution and ongoing activist pressures highlight governance concerns that may impact future performance.

TSX:DND Earnings and Revenue Growth as at Oct 2024
TSX:DND Earnings and Revenue Growth as at Oct 2024

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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.