In August 2024, the German market has faced significant challenges, with the DAX tumbling over 4% amid global economic uncertainties and weak U.S. economic data. Despite this volatility, growth companies with high insider ownership remain attractive to investors due to their potential for resilience and long-term value creation.In such a turbulent environment, stocks with strong insider ownership can signal confidence from those closest to the company’s operations and strategies. This article will explore three top German growth companies that exhibit high levels of insider ownership, highlighting their potential amidst current market conditions.
Top 10 Growth Companies With High Insider Ownership In Germany
| Name | Insider Ownership | Earnings Growth |
| pferdewetten.de (XTRA:EMH) | 26.8% | 75.4% |
| Deutsche Beteiligungs (XTRA:DBAN) | 39.4% | 41.8% |
| YOC (XTRA:YOC) | 24.8% | 21.8% |
| Exasol (XTRA:EXL) | 25.3% | 105.4% |
| NAGA Group (XTRA:N4G) | 14.1% | 78.3% |
| Alelion Energy Systems (DB:2FZ) | 37.4% | 106.6% |
| Stratec (XTRA:SBS) | 30.9% | 21.9% |
| elumeo (XTRA:ELB) | 25.8% | 99.1% |
| Your Family Entertainment (DB:RTV) | 17.5% | 116.8% |
| Friedrich Vorwerk Group (XTRA:VH2) | 18% | 30.4% |
Click here to see the full list of 19 stocks from our Fast Growing German Companies With High Insider Ownership screener.
We're going to check out a few of the best picks from our screener tool.
Brockhaus Technologies (XTRA:BKHT)
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Brockhaus Technologies AG is a private equity firm with a market cap of €308.21 million.
Operations: The firm's revenue segments include €39.43 million from Security Technologies and €153.43 million from Financial Technologies.
Insider Ownership: 26.6%
Brockhaus Technologies is forecast to see revenue growth of 17.8% annually, outpacing the German market's 5.2%. Earnings are expected to grow at a substantial rate of 76.28% per year, with profitability anticipated within three years. Despite trading at 79.3% below its estimated fair value, the company's Return on Equity is projected to be low (8.1%) in three years. Recent earnings showed Q1 sales rising to €39.85 million from €33.63 million YoY, though net loss increased to €1.38 million from €0.488 million YoY.
- Delve into the full analysis future growth report here for a deeper understanding of Brockhaus Technologies.
- Our expertly prepared valuation report Brockhaus Technologies implies its share price may be lower than expected.
Redcare Pharmacy (XTRA:RDC)
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Redcare Pharmacy NV operates an online pharmacy business across the Netherlands, Germany, Italy, Belgium, Switzerland, Austria, and France with a market cap of approximately €2.88 billion.
Operations: The company's revenue segments consist of €1.74 billion from the DACH region and €391 million from international markets.
Insider Ownership: 17.7%
Redcare Pharmacy, a growth company with high insider ownership in Germany, is forecast to see annual revenue growth of 17.1%, outpacing the German market's 5.2%. Earnings are expected to grow by 50.05% per year, with profitability anticipated within three years. Despite trading at 64% below its estimated fair value and having a highly volatile share price, recent earnings showed sales rising to €1.12 billion from €791.94 million YoY, though net loss narrowed slightly to €12.07 million from €14.78 million YoY.
- Click to explore a detailed breakdown of our findings in Redcare Pharmacy's earnings growth report.
- Our expertly prepared valuation report Redcare Pharmacy implies its share price may be too high.
Stratec (XTRA:SBS)
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Stratec SE, with a market cap of €465.57 million, designs and manufactures automation and instrumentation solutions for in-vitro diagnostics and life sciences across Germany, the European Union, and internationally.
Operations: The company's revenue segments (in millions of €) are derived from its automation and instrumentation solutions for in-vitro diagnostics and life sciences across Germany, the European Union, and internationally.
Insider Ownership: 30.9%
Stratec, with high insider ownership, is forecast to grow its revenue by 7.8% annually, surpassing the German market's 5.2%. Earnings are expected to increase significantly at 21.85% per year. Despite trading at a substantial discount of 57.8% below its estimated fair value, profit margins have declined from 7.5% to 4.8%. Recent presentations at the Warburg Highlights Conference and Berenberg Diagnostics Conference highlight ongoing investor engagement efforts amidst these financial dynamics.
- Unlock comprehensive insights into our analysis of Stratec stock in this growth report.
- Our valuation report here indicates Stratec may be overvalued.
Next Steps
- Take a closer look at our Fast Growing German Companies With High Insider Ownership list of 19 companies by clicking here.
- Invested in any of these stocks? Simplify your portfolio management with Simply Wall St and stay ahead with our alerts for any critical updates on your stocks.
- Discover a world of investment opportunities with Simply Wall St's free app and access unparalleled stock analysis across all markets.
Searching for a Fresh Perspective?
- Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
- Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
- Find companies with promising cash flow potential yet trading below their fair value.
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.
Valuation is complex, but we're here to simplify it.
Discover if Brockhaus Technologies might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
Access Free Analysis
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
