3 German Growth Stocks With High Insider Ownership Growing Earnings Up To 76%

Amidst a backdrop of global economic uncertainty and fluctuating market indices, the German DAX has seen significant volatility, reflecting broader concerns about growth and inflation. Despite these challenges, certain growth companies in Germany with high insider ownership are demonstrating impressive earnings growth, some up to 76%, making them noteworthy in the current market landscape. When considering what makes a good stock under these conditions, high insider ownership often indicates strong confidence from those closest to the company's operations and strategy. This can be particularly compelling when combined with robust earnings growth, offering potential resilience against broader market fluctuations.

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.

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

Brockhaus Technologies (XTRA:BKHT)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Brockhaus Technologies AG is a private equity firm with a market capitalization of approximately €308.21 million.

Operations: Brockhaus Technologies generates revenue primarily from its Security Technologies segment (€39.43 million) and Financial Technologies segment (€153.43 million).

Insider Ownership: 26.6%

Earnings Growth Forecast: 76.3% p.a.

Brockhaus Technologies' earnings are forecast to grow 76.28% annually, though its revenue growth of 17.8% per year is slower than the desired 20%. The stock trades at a significant discount, being 79.3% below its estimated fair value. Despite a low forecasted Return on Equity of 8.1%, the company is expected to become profitable in three years, surpassing average market growth rates. Recent Q1 results showed increased sales and revenue but also a higher net loss compared to last year.

• Dive into the specifics of Brockhaus Technologies here with our thorough growth forecast report.
• The valuation report we've compiled suggests that Brockhaus Technologies' current price could be quite moderate.

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 €2.88 billion.

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

Insider Ownership: 17.7%

Earnings Growth Forecast: 50.1% p.a.

Redcare Pharmacy reported half-year sales of €1.12 billion, up from €791.94 million last year, with a reduced net loss of €12.07 million compared to €14.78 million previously. The company is expected to become profitable in three years, outperforming the German market's growth rate with a forecasted annual revenue increase of 17.1%. However, shareholders have experienced dilution over the past year and the stock remains highly volatile despite trading at 64% below its estimated fair value.

• Click here and access our complete growth analysis report to understand the dynamics of Redcare Pharmacy.
• In light of our recent valuation report, it seems possible that Redcare Pharmacy is trading beyond its estimated value.

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 in Germany, the European Union, and internationally.

Operations: Stratec SE generates revenue from designing and manufacturing automation and instrumentation solutions for in-vitro diagnostics and life sciences across Germany, the European Union, and internationally.

Insider Ownership: 30.9%

Earnings Growth Forecast: 21.9% p.a.

Stratec SE reported Q2 2024 sales of €68.21 million, up from €64.53 million last year, with net income rising to €3.48 million from €1.05 million. Despite lower profit margins compared to last year, the company is trading significantly below its estimated fair value and forecasts suggest annual earnings growth of 21.85%. Revenue is expected to grow at 7.8% per year, outpacing the German market average of 5.2%.

• Click here to discover the nuances of Stratec with our detailed analytical future growth report.
• Our valuation report unveils the possibility Stratec's shares may be trading at a premium.

Next Steps

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Looking For Alternative Opportunities?

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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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