Sweden's High-Growth Firms with Strong Insider Investment and Rapid Earnings Expansion

The Swedish stock market presents growth opportunities in companies with high insider ownership. Among the top performers are Fabege AB (publ) with a market cap of SEK30.22 billion and a projected earnings growth of 96.4% p.a. Fabege operates in the property sector, with revenue primarily from Project and Management segments. With 13.8% insider ownership, the company is projected to grow revenue at 1.5% per year, becoming profitable within three years, supported by recent improvements in net income and reduced losses.

The Swedish stock market has emerged as a bastion of resilience amidst a challenging global economic environment. With European markets grappling with declines and fears of slowing growth, Swedish stocks present attractive growth opportunities, particularly for companies with high insider ownership. Insider ownership aligns management interests with those of shareholders, making these stocks a compelling choice for investors seeking long-term growth prospects. In this article, we explore two top Swedish growth companies with high insider ownership: Fabege AB and Bilia AB.

Fabege AB (publ) (STO: FNOX), a leading player in the property sector, boasts a market capitalization of SEK30.22 billion and a projected earnings growth of 96.4% per annum. The company generates revenue primarily from its Project and Management segments. With 13.8% insider ownership, Fabege is projected to grow revenue at 1.5% per year, becoming profitable within three years. Recent improvements in net income and reduced losses support this growth trajectory.

Bilia AB (publ) (STO: BILI A), a full-service supplier for car ownership in Sweden, Norway, Luxembourg, and Belgium, boasts a market capitalization of SEK11.30 billion. Bilia generates revenue from several segments, including Fuel, Car (Sweden, Norway, and Western Europe), Service (Sweden and Norway), and Car (Western Europe). With 31.6% insider ownership, Bilia is forecast to grow earnings at 18.1% per annum, outpacing the Swedish market's 15.2% growth rate. Despite trading at a discount to its fair value estimate and expected revenue growth of 5% per year, Bilia faces challenges such as declining profit margins and an uncovered dividend.

Investors seeking growth opportunities in the Swedish market should consider these companies, whose high insider ownership aligns their interests with those of shareholders. To learn more about these companies and their growth prospects, visit their respective investor relations websites.

[1] https://simplywall.st/stocks/se/software/sto-fnox/fortnox-shares/news/3-swedish-growth-stocks-with-high-insider-ownership-3