German Exchange Showcases Three Growth Companies With High Insider Ownership

Amid a backdrop of rising indices such as Germany's DAX, which recently gained 1.48%, the German market is reflecting a robust economic sentiment, mirroring broader European trends. In this context, growth companies with high insider ownership stand out as particularly compelling, as high insider stakes often signal strong confidence in the company's future from those who know it best.

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)	39.1%	31.6%
YOC (XTRA:YOC)	24.8%	21.8%
NAGA Group (XTRA:N4G)	14.1%	79.2%
Exasol (XTRA:EXL)	25.3%	105.4%
Alelion Energy Systems (DB:2FZ)	37.4%	106.6%
Stratec (XTRA:SBS)	30.9%	21.9%
elumeo (XTRA:ELB)	25.8%	99.1%
Redcare Pharmacy (XTRA:RDC)	17.7%	47.4%
Friedrich Vorwerk Group (XTRA:VH2)	18%	30.4%

Click here to see the full list of 18 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.

Redcare Pharmacy (XTRA:RDC)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Redcare Pharmacy NV is an online pharmacy operating across the Netherlands, Germany, Italy, Belgium, Switzerland, Austria, and France with a market capitalization of approximately €2.86 billion.

Operations: The company generates revenue primarily through its operations in the DACH region (€1.62 billion) and other international markets (€0.37 billion).

Insider Ownership: 17.7%

Redcare Pharmacy, despite trading at a substantial discount to its estimated fair value, faces challenges with a low forecasted return on equity of 7.5% in three years. However, it's set for robust growth with earnings expected to increase by 47.38% annually and revenue projected to rise by 17.1% per year—outpacing the German market average of 5.2%. Recent financials show improvement as Q1 sales jumped from €372.05 million to €560.22 million year-over-year, narrowing net losses significantly.

• Take a closer look at Redcare Pharmacy's potential here in our earnings growth report.
• According our valuation report, there's an indication that Redcare Pharmacy's share price might be on the expensive side.

Friedrich Vorwerk Group (XTRA:VH2)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Friedrich Vorwerk Group SE specializes in solutions for the transformation and transportation of energy across Germany and Europe, with a market capitalization of approximately €0.38 billion.

Operations: The company generates revenue through segments focused on electricity (€72.07 million), natural gas (€157.60 million), clean hydrogen (€28.59 million), and adjacent opportunities (€118.73 million).

Insider Ownership: 18%

Friedrich Vorwerk Group SE, a German growth company with high insider ownership, is poised for significant earnings growth, forecasted at 30.4% annually, outperforming the broader market's 18.9%. Although its revenue growth of 8.3% per year trails the high-growth benchmark of 20%, it still surpasses the German market average of 5.2%. Recent financials indicate solid performance with Q1 sales and net income showing notable increases from the previous year, underscoring its upward trajectory despite a modest forecasted return on equity of 11%.

• Delve into the full analysis future growth report here for a deeper understanding of Friedrich Vorwerk Group.
• In light of our recent valuation report, it seems possible that Friedrich Vorwerk Group is trading beyond its estimated value.

Zalando (XTRA:ZAL)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Zalando SE is an online retailer specializing in fashion and lifestyle products, with a market capitalization of approximately €6.29 billion.

Operations: The company generates approximately €10.40 billion in revenue from its online fashion and lifestyle platform.

Insider Ownership: 10.4%

Zalando SE, a German growth company with significant insider ownership, is currently undervalued, trading 51.3% below its estimated fair value. Despite recent modest sales growth forecasts between 0% and 5% for 2024, Zalando's earnings have surged by 184.3% over the past year and are expected to continue growing at an annual rate of 26.4%, outpacing the German market's forecast of 18.9%. However, its projected return on equity remains low at around 12.6%.

• Click here and access our complete growth analysis report to understand the dynamics of Zalando.
• The analysis detailed in our Zalando valuation report hints at an inflated share price compared to its estimated value.

Make It Happen

• Explore the 18 names from our Fast Growing German Companies With High Insider Ownership screener here.
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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.

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