Stock Analysis

High Growth Tech Stocks to Watch in October 2024

XTRA:A1OS
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As the German market navigates a challenging landscape marked by geopolitical tensions and fluctuating oil prices, key indices like the DAX have recently experienced declines, reflecting broader European caution. In this environment, identifying promising high-growth tech stocks requires a focus on companies with robust innovation capabilities and adaptability to shifting economic conditions.

Top 10 High Growth Tech Companies In Germany

NameRevenue GrowthEarnings GrowthGrowth Rating
Formycon32.50%30.70%★★★★★☆
Ströer SE KGaA7.52%29.17%★★★★★☆
Stemmer Imaging13.34%23.20%★★★★★☆
Exasol14.66%117.10%★★★★★☆
ParTec41.16%63.31%★★★★★★
cyan28.13%71.37%★★★★★☆
medondo holding35.61%82.66%★★★★★☆
Northern Data32.53%68.17%★★★★★☆
Rubean55.25%67.67%★★★★★☆
GK Software8.70%33.04%★★★★☆☆

Click here to see the full list of 42 stocks from our German High Growth Tech and AI Stocks screener.

Underneath we present a selection of stocks filtered out by our screen.

Northern Data (DB:NB2)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Northern Data AG provides high-performance computing infrastructure solutions globally to businesses and research institutions, with a market capitalization of €1.61 billion.

Operations: The company generates revenue primarily from Peak Mining (€156.13 million), Taiga Cloud (€22.13 million), and Ardent Data Centers (€31.46 million). The Consolidation segment shows a negative impact of €178.50 million on the overall revenue structure.

Northern Data, recently added to the S&P Global BMI Index, showcases a compelling trajectory with its revenue forecast to surge by 32.5% annually, significantly outpacing the German market's average of 5.4%. This growth is underpinned by substantial R&D investments which have grown consistently, aligning with their strategic focus on expanding their technological capabilities in high-performance computing and AI solutions. Despite current unprofitability and a highly volatile share price, earnings are expected to climb by 68.2% per year over the next three years. The company reaffirmed its ambitious fiscal year 2024 revenue target ranging between €200 million and €240 million—a potential increase of up to 200%, reflecting both aggressive growth strategies and recent market expansions.

DB:NB2 Earnings and Revenue Growth as at Oct 2024
DB:NB2 Earnings and Revenue Growth as at Oct 2024

All for One Group (XTRA:A1OS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: All for One Group SE, along with its subsidiaries, offers business software solutions for SAP, Microsoft, and IBM across Germany, Switzerland, Austria, Poland, Luxembourg, and internationally with a market capitalization of €247.03 million.

Operations: The company generates revenue primarily from its CORE segment, contributing €442.47 million, and the LOB segment, which adds €77.01 million. The focus on business software solutions for major platforms like SAP, Microsoft, and IBM highlights its strategic positioning in the IT services sector across multiple European countries and internationally.

Despite a modest revenue growth forecast of 6.4% per year, All for One Group SE stands out with its robust earnings surge, expected to climb by 24.6% annually. This performance is notably ahead of the broader German market's average and underscores the company's effective strategy in leveraging technology solutions tailored for complex enterprise environments. Recent R&D investments have been pivotal, enhancing their offerings and fueling this growth trajectory; indeed, these expenditures represent a strategic commitment to innovation within their sector. Additionally, recent activities including a share buyback program reflect confidence in their financial health and future prospects, further evidenced by significant improvements in net income from EUR -2.75 million to EUR 0.525 million in the latest quarter alone.

XTRA:A1OS Earnings and Revenue Growth as at Oct 2024
XTRA:A1OS Earnings and Revenue Growth as at Oct 2024

adesso (XTRA:ADN1)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: adesso SE, along with its subsidiaries, offers IT services across Germany, Austria, Switzerland, and internationally with a market capitalization of approximately €482.50 million.

Operations: The company generates revenue primarily from IT Services (€1.39 billion) and IT Solutions (€128.12 million). The business operates across Germany, Austria, Switzerland, and internationally.

Adesso SE, despite facing a net loss that widened to EUR 9.86 million from EUR 5.89 million in the latest half-year report, continues to demonstrate potential in the high-growth tech sector of Germany with a notable increase in sales to EUR 633.47 million from EUR 548.19 million previously. This growth trajectory is further underscored by an expected revenue increase of 11.7% annually, outpacing the German market's average of 5.4%. However, challenges remain as R&D expenses and interest payments strain financials, with profitability forecasted only within the next three years amidst competitive pressures and ongoing investments in innovation aimed at reversing current losses.

XTRA:ADN1 Earnings and Revenue Growth as at Oct 2024
XTRA:ADN1 Earnings and Revenue Growth as at Oct 2024

Where To Now?

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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.

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