Stock Analysis

Euronext Paris Highlights Three Growth Companies With High Insider Ownership

ENXTPA:MEDCL
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Amidst a backdrop of modest gains and a broadening market rotation in global indices, France's CAC 40 Index has shown resilience with a notable increase. In such an environment, growth companies with high insider ownership in France may offer interesting insights into the alignment of management interests with shareholder values.

Top 10 Growth Companies With High Insider Ownership In France

NameInsider OwnershipEarnings Growth
VusionGroup (ENXTPA:VU)13.5%25.2%
Groupe OKwind Société anonyme (ENXTPA:ALOKW)24.8%30.8%
Adocia (ENXTPA:ADOC)12.1%104.5%
OSE Immunotherapeutics (ENXTPA:OSE)25.6%79.3%
Icape Holding (ENXTPA:ALICA)30.2%26.1%
Arcure (ENXTPA:ALCUR)21.4%42.4%
Solutions 30 (ENXTPA:S30)16.2%102.6%
La Française de l'Energie (ENXTPA:FDE)20.1%34.2%
Munic (ENXTPA:ALMUN)29.4%150%
MedinCell (ENXTPA:MEDCL)16.4%74.6%

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

Here we highlight a subset of our preferred stocks from the screener.

Lectra (ENXTPA:LSS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Lectra SA specializes in industrial intelligence solutions for the fashion, automotive, and furniture sectors across various global regions, with a market capitalization of approximately €1.06 billion.

Operations: The company generates revenue primarily from the Americas and Asia-Pacific regions, totaling approximately €170.33 million and €110.28 million respectively.

Insider Ownership: 19.6%

Revenue Growth Forecast: 11.3% p.a.

Lectra, a French growth company with substantial insider ownership, is trading at 35.4% below its estimated fair value and is anticipated to see significant earnings growth of 28.6% annually over the next three years. This projected growth rate surpasses the broader French market's expectation of 11% per year. Despite a slight dip in net income and EPS as reported in their Q1 results for 2024, Lectra's revenue growth of 11.3% annually is also expected to outpace the market average of 5.8%.

ENXTPA:LSS Earnings and Revenue Growth as at Jun 2024
ENXTPA:LSS Earnings and Revenue Growth as at Jun 2024

MedinCell (ENXTPA:MEDCL)

Simply Wall St Growth Rating: ★★★★★☆

Overview: MedinCell S.A. is a French pharmaceutical company specializing in the development of long-acting injectable medications across various therapeutic areas, with a market capitalization of approximately €395.81 million.

Operations: The company generates its revenue primarily from the pharmaceuticals segment, totaling €11.95 million.

Insider Ownership: 16.4%

Revenue Growth Forecast: 42.9% p.a.

MedinCell, a French growth company, is navigating challenges but shows potential with expected profitability within three years and revenue growth forecasted at 42.9% annually. Despite a recent downturn in earnings and a volatile share price, the company's innovative pipeline, including partnerships like the one with AbbVie involving up to €1.9 billion in milestones, underscores its growth trajectory. However, investor dilution over the past year and less than one year of cash runway highlight financial risks.

ENXTPA:MEDCL Ownership Breakdown as at Jun 2024
ENXTPA:MEDCL Ownership Breakdown as at Jun 2024

OVH Groupe (ENXTPA:OVH)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: OVH Groupe S.A. is a global provider of public and private cloud services, shared hosting, and dedicated server solutions, with a market capitalization of approximately €1.05 billion.

Operations: The company generates revenue through its public cloud (€140.71 million), private cloud (€514.59 million), and web cloud services (€179.45 million).

Insider Ownership: 10.5%

Revenue Growth Forecast: 10.9% p.a.

OVH Groupe, a French growth company with high insider ownership, is on the brink of profitability with expected earnings growth of 101.5% annually. Despite its volatile share price in recent months, revenue is projected to outpace the market at 10.9% yearly. Recent strategic hires like Celine Choussy and Benjamin Revcolevschi aim to bolster its marketing and operational capabilities respectively, aligning with OVH's focus on innovation and international expansion. However, current return on equity remains low at 3.7%.

ENXTPA:OVH Ownership Breakdown as at Jun 2024
ENXTPA:OVH Ownership Breakdown as at Jun 2024

Key Takeaways

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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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