Three German Growth Companies With High Insider Ownership And Earnings Growth Of 47%

Amidst a backdrop of rising optimism in the European markets, where Germany's DAX index notably gained 1.48% last week, investors are keenly observing various growth signals and market dynamics. In such an environment, examining growth companies with high insider ownership can offer valuable insights, as these firms often demonstrate alignment between management’s interests and those of shareholders, potentially driving robust earnings growth.

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%
elumeo (XTRA:ELB)	25.8%	99.1%
Redcare Pharmacy (XTRA:RDC)	17.7%	47.4%
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 18 stocks from our Fast Growing German Companies With High Insider Ownership screener.

Let's uncover some gems from our specialized screener.

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 two segments: the DACH region (€1.62 billion) and other international markets (€0.37 billion).

Insider Ownership: 17.7%

Earnings Growth Forecast: 47.4% p.a.

Redcare Pharmacy, a growth-oriented company in Germany, exhibits high insider ownership but faces challenges such as a forecasted Return on Equity of 7.5% and shareholder dilution over the past year. Despite these issues, the company is trading at 71.6% below its estimated fair value and has shown promising revenue growth at 17.1% per year, outpacing the German market's 5.2%. Additionally, earnings are expected to grow significantly by 47.38% annually, with profitability anticipated within three years.

• 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.

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%

Earnings Growth Forecast: 30.4% p.a.

Friedrich Vorwerk Group SE, a German growth company with high insider ownership, is expected to see its earnings grow by 30.45% annually over the next three years, outperforming the German market's average. Despite this robust profit outlook, its forecasted Return on Equity stands at a modest 11%. Recent financials show a substantial increase in net income and revenue for Q1 2024 compared to the previous year, indicating solid short-term performance.

• Click here to discover the nuances of Friedrich Vorwerk Group with our detailed analytical future growth report.
• Upon reviewing our latest valuation report, Friedrich Vorwerk Group's share price might be too optimistic.

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 €10.40 billion from its primary operations in the online fashion and lifestyle retail sector.

Insider Ownership: 10.4%

Earnings Growth Forecast: 26.4% p.a.

Zalando SE, despite trading at 51.3% below its estimated fair value, shows modest growth prospects with expected revenue growth slightly above the German market average at 5.4% per year. Earnings have surged by 184.3% over the past year and are set to expand significantly by 26.42% annually over the next three years, surpassing Germany's market growth rate of 18.9%. However, its forecasted Return on Equity is considered low at just 12.6%. Recent guidance anticipates up to a 5% increase in sales for 2024 with an expected operating profit.

• Navigate through the intricacies of Zalando with our comprehensive analyst estimates report here.
• In light of our recent valuation report, it seems possible that Zalando is trading beyond its estimated value.

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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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