US markets hit new highs with the Dow Jones and the S&P 500 hitting record levels, fueled by recent political developments and changes in monetary policy fueled investor optimism. In this thriving environment, growth companies with high insider ownership are particularly attractive because they often signal strong confidence from those closest to the business, aligning well with current market dynamics that favor strong corporate governance and strategic foresight.
Here we highlight a subset of our favorite stocks from the screener.
Simply Wall St. Growth Rating: ★★★★★★
Brief description: Credit Acceptance Corporation provides financing programs and related products and services in the United States with a market cap of approximately $5.55 billion.
Operation: The company generates $846.10 million in revenue by offering financing programs and related products and services to dealers in the United States.
Internal Ownership: 14.1%
Credit Acceptance Corporation shows strong growth potential with expected annual revenue growth of more than 50% and forecast revenue growth of 34.9% beyond the US market. However, domestic sales have recently been significant, and profit margins have decreased compared to last year. The company reported revenue of US$550.3 million in Q3, up from US$478.6 million a year ago, but net income for the nine months fell to US$96 million from US$192.5 million a year earlier.
NasdaqGS: CACC Revenue and Revenue Growth in November 2024
Simply Wall St. Growth Rating: ★★★★★☆
Brief description: CarGurus, Inc. operates an online automotive platform for buying and selling vehicles in the United States and internationally, with a market capitalization of $3.40 billion.
Operation: The company’s revenue is primarily derived from its US marketplace segment, which contributed $686.26 million, and its digital wholesale segment, which contributed $134.48 million.
Internal Ownership: 17%
CarGurus shows growth potential with its expected annual revenue growth of 53.26% and forecasts revenue growth of 12.4%, surpassing the US market average. The latest Q3 results show an increase in sales from US$177.91 million to US$204.02 million, although net income saw only a slight year-over-year improvement. Despite recent significant internal sales, CarGurus has announced a share repurchase program worth US$200 million, based on confidence in its future prospects amid the expansion of digital retail solutions in Canada and the United States.
NasdaqGS: CARG revenue and revenue growth as of November 2024
Simply Wall St. Growth Rating: ★★★★☆☆
Brief description: Tutor Perini Corporation is a construction company that provides general contracting, construction management and design-build services to private and public clients in the United States and internationally, with a market value of approximately $1.59 billion.
Operation: Tutor Perini’s revenue streams are derived from a diverse offering of general contracting, construction management and design-build services to both private sector clients and public agencies in domestic and international markets.
Internal Ownership: 16.5%
Tutor Perini’s growth outlook is bolstered by substantial internal ownership and a strong project backlog, including notable contracts such as the $1.66 billion Honolulu rail project and the $330.6 million Guam port repair initiative. Despite a recent quarterly loss of $100.86 million, the company is forecast to turn profitable in three years with expected earnings growth of 90.23% annually, indicating upside potential as it trades significantly below estimated fair value.
NYSE: TPC Earnings and Revenue Growth in Nov 2024
This article on Simply Wall St. is general in nature. We only provide commentary based on historical data and analyst forecasts using an unbiased approach, 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 into account 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 recent price-sensitive company announcements or qualitative factors. Simply Wall St. has no position in any of the stocks mentioned. The analysis considers only stocks held directly by insiders. It does not include stocks owned indirectly through other vehicles such as corporate and/or trust entities. All forecast revenue and earnings growth rates quoted are in terms of compound annual (annual) growth rates over 1-3 years.
