Stock Analysis
3 German Growth Stocks With Insider Ownership Up To 26%
Reviewed by Simply Wall St
As geopolitical tensions in the Middle East weigh on global markets, Germany's DAX index has experienced a recent decline of 1.81%, reflecting broader investor caution across Europe. Amidst these uncertainties, growth companies with significant insider ownership can offer unique insights into potential resilience and confidence in their business models. In this context, exploring stocks with high insider ownership may provide valuable perspectives for investors seeking stability and growth opportunities within the German market.
Top 10 Growth Companies With High Insider Ownership In Germany
| Name | Insider Ownership | Earnings Growth |
| Stemmer Imaging (XTRA:S9I) | 25% | 23.2% |
| Exasol (XTRA:EXL) | 25.3% | 117.1% |
| Deutsche Beteiligungs (XTRA:DBAN) | 39.5% | 54.1% |
| adidas (XTRA:ADS) | 16.6% | 41.8% |
| pferdewetten.de (XTRA:EMH) | 20.6% | 97.9% |
| Alelion Energy Systems (DB:2FZ) | 37.4% | 106.6% |
| Beyond Frames Entertainment (DB:8WP) | 10.8% | 112.2% |
| R. STAHL (XTRA:RSL2) | 37.9% | 59.3% |
| Redcare Pharmacy (XTRA:RDC) | 17.4% | 54.4% |
| elumeo (XTRA:ELB) | 25.8% | 120.2% |
Let's review some notable picks from our screened stocks.
adidas (XTRA:ADS)
Simply Wall St Growth Rating: ★★★★★☆
Overview: adidas AG, along with its subsidiaries, is involved in the design, development, production, and marketing of athletic and sports lifestyle products across various regions including Europe, the Middle East, Africa, North America, Greater China, the Asia-Pacific, and Latin America with a market cap of approximately €42.55 billion.
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%
adidas is experiencing significant earnings growth, forecasted at 41.8% annually, outpacing the German market's average. The company's revenue is also expected to grow faster than the market, albeit at a slower pace of 8.3%. Recent financial results show strong performance with Q2 sales reaching €5.82 billion and net income rising to €190 million from €84 million year-on-year. Despite currency challenges impacting profitability, adidas raised its full-year guidance due to positive momentum.
- Click to explore a detailed breakdown of our findings in adidas' earnings growth report.
- According our valuation report, there's an indication that adidas' share price might be on the expensive side.
Brockhaus Technologies (XTRA:BKHT)
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Brockhaus Technologies AG is a private equity firm with a market capitalization of approximately €281.04 million.
Operations: The company's revenue is primarily derived from its Security Technologies segment, generating €37.03 million, and its Financial Technologies segment, contributing €174.59 million.
Insider Ownership: 26.6%
Brockhaus Technologies is positioned for growth with forecasted earnings expansion at 93% annually, surpassing the German market. Despite revenue growth of 16.8% per year, which lags behind a higher benchmark, it remains above the market average. The company is trading significantly below its estimated fair value and aims to become profitable within three years. Recent guidance confirmed revenue targets for 2024 and 2025 at €220-240 million and €290-320 million respectively, despite reporting increased net losses in H1 2024.
- Dive into the specifics of Brockhaus Technologies here with our thorough growth forecast report.
- Our valuation report unveils the possibility Brockhaus Technologies' shares may be trading at a discount.
Redcare Pharmacy (XTRA:RDC)
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Redcare Pharmacy NV operates as an online pharmacy across several European countries, including the Netherlands, Germany, Italy, Belgium, Switzerland, Austria, and France, with a market cap of €2.76 billion.
Operations: The company's revenue is segmented into €1.74 billion from the DACH region and €391 million from its international operations.
Insider Ownership: 17.4%
Redcare Pharmacy's forecasted revenue growth of 17% annually outpaces the German market average, though it falls short of a higher benchmark. The company is trading significantly below its estimated fair value and expects to become profitable within three years. Recent guidance raised 2024 sales expectations to €2.35-2.5 billion, despite reporting a reduced net loss for H1 2024 compared to the previous year. Insider activity shows more shares sold than bought recently.
- Click here and access our complete growth analysis report to understand the dynamics of Redcare Pharmacy.
- The valuation report we've compiled suggests that Redcare Pharmacy's current price could be inflated.
Key Takeaways
- Embark on your investment journey to our 19 Fast Growing German Companies With High Insider Ownership selection here.
- Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments.
- Elevate your portfolio with Simply Wall St, the ultimate app for investors seeking global market coverage.
Contemplating Other Strategies?
- Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
- Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
- Find companies with promising cash flow potential yet trading below their fair value.
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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About XTRA:ADS
adidas
Designs, develops, produces, and markets athletic and sports lifestyle products in Europe, the Middle East, Africa, North America, Greater China, the Asia-Pacific, and Latin America.
