Stock Analysis

Top German Growth Stocks With High Insider Ownership September 2024

XTRA:ADS
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The German market has shown resilience, with the DAX surging over 4% recently, buoyed by renewed hopes for economic stimulus from China. Amid this backdrop of cautious optimism and mixed economic signals, investors are increasingly looking at growth companies with high insider ownership as potential opportunities. In a market characterized by volatility and uncertainty, stocks with significant insider ownership can be particularly appealing. High insider stakes often signal confidence in the company's future prospects and align management's interests closely with those of shareholders.

Top 10 Growth Companies With High Insider Ownership In Germany

NameInsider OwnershipEarnings Growth
pferdewetten.de (XTRA:EMH)26.8%98.3%
Stemmer Imaging (XTRA:S9I)25.2%23.2%
Deutsche Beteiligungs (XTRA:DBAN)39.5%54.1%
Exasol (XTRA:EXL)25.3%117.1%
adidas (XTRA:ADS)16.6%42.1%
Alelion Energy Systems (DB:2FZ)37.4%106.6%
Stratec (XTRA:SBS)30.9%20%
R. STAHL (XTRA:RSL2)37.9%59.3%
elumeo (XTRA:ELB)25.8%120.2%
Your Family Entertainment (DB:RTV)17.3%116.8%

Click here to see the full list of 22 stocks from our Fast Growing German Companies With High Insider Ownership screener.

Let's uncover some gems from our specialized screener.

adidas (XTRA:ADS)

Simply Wall St Growth Rating: ★★★★★☆

Overview: adidas AG, with a market cap of €42.91 billion, designs, develops, produces, and markets athletic and sports lifestyle products globally across Europe, the Middle East, Africa, North America, Greater China, the Asia-Pacific region, and Latin America.

Operations: The company's revenue segments include Greater China (€3.26 billion), Latin America (€2.39 billion), and North America (€5.07 billion).

Insider Ownership: 16.6%

Earnings Growth Forecast: 42.1% p.a.

adidas, trading at 13.4% below its estimated fair value, has no recent substantial insider trading activity but shows strong growth potential. Its revenue is forecast to grow 8.4% annually, outpacing the German market's 5.4%. Earnings are expected to grow significantly at 42.1% per year over the next three years, with a high return on equity forecasted at 31.5%. Recent earnings reports show improved performance and raised guidance for 2024 despite unfavorable currency effects impacting profitability.

XTRA:ADS Earnings and Revenue Growth as at Sep 2024
XTRA:ADS Earnings and Revenue Growth as at Sep 2024

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 €2.77 billion.

Operations: The company's revenue segments include €1.74 billion from the DACH region and €391 million from International markets.

Insider Ownership: 17.4%

Earnings Growth Forecast: 51.8% p.a.

Redcare Pharmacy, trading at 66.2% below its estimated fair value, shows promising growth with revenue forecasted to grow 17.1% annually, outpacing the German market's 5.4%. Earnings are expected to grow significantly at 51.83% per year and become profitable within three years. Despite recent volatility and past shareholder dilution, significant insider buying indicates confidence in future performance. Recent earnings reported sales of €1.12 billion for H1 2024, with a reduced net loss of €12.07 million compared to last year.

XTRA:RDC Earnings and Revenue Growth as at Sep 2024
XTRA:RDC Earnings and Revenue Growth as at Sep 2024

Zalando (XTRA:ZAL)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Zalando SE operates an online platform for fashion and lifestyle products, with a market cap of approximately €7.63 billion.

Operations: Zalando SE generates revenue primarily from its online platform for fashion and lifestyle products, totaling €10.49 billion.

Insider Ownership: 10.4%

Earnings Growth Forecast: 25.1% p.a.

Zalando, trading at 49.4% below its estimated fair value, demonstrates strong growth potential with earnings forecasted to grow 25.1% annually, outpacing the German market's 20%. Recent Q2 2024 results showed sales of €2.64 billion and net income of €95.7 million, reflecting significant year-over-year improvements. While revenue growth is slower than desired at 5.6% annually, it still exceeds the market average of 5.4%. The departure of CFO Dr. Sandra Dembeck may introduce some uncertainty in leadership stability moving forward.

XTRA:ZAL Ownership Breakdown as at Sep 2024
XTRA:ZAL Ownership Breakdown as at Sep 2024

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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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