Stock Analysis

Exploring Three Euronext Paris Growth Companies With Significant Insider Ownership

ENXTPA:OVH
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Amidst a cautiously optimistic economic climate in Europe, with the ECB's recent interest rate cut signaling a nuanced approach to inflation and monetary policy, investors are keenly observing market dynamics. In this context, exploring growth companies on Euronext Paris with high insider ownership could offer valuable insights into firms that potentially have aligned interests between shareholders and management, fostering robust growth trajectories in these uncertain times.

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%30.6%
WALLIX GROUP (ENXTPA:ALLIX)19.8%101.6%
La Française de l'Energie (ENXTPA:FDE)20.1%37.7%
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%
Munic (ENXTPA:ALMUN)29.4%150%
MedinCell (ENXTPA:MEDCL)16.4%69.2%

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

We're going to check out a few of the best picks from our screener tool.

Lectra (ENXTPA:LSS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Lectra SA offers industrial intelligence solutions tailored for the fashion, automotive, and furniture industries, with a market capitalization of approximately €1.09 billion.

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

Insider Ownership: 19.6%

Lectra, a French company with significant insider ownership, is positioned for robust growth. Analysts predict its earnings will increase by 28.6% annually, outpacing the French market's 11.1%. Although it trades at a substantial 34.8% below estimated fair value, offering good relative value within its sector, concerns arise as its forecasted Return on Equity is relatively low at 13.3%. Recent financial results showed a slight decline in net income despite increased sales, highlighting potential challenges in profitability enhancement.

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 multiple therapeutic areas, with a market capitalization of approximately €435.91 million.

Operations: The company generates its revenue primarily from the pharmaceuticals segment, totaling €14.13 million.

Insider Ownership: 16.4%

MedinCell S.A., a French growth company with significant insider ownership, is navigating a challenging phase with high revenue growth forecasts (40.8% per year) and an expected transition to profitability within three years. Despite recent setbacks in clinical trials, such as the Phase 3 trial for F14 not meeting its primary endpoint, there are positive indicators including substantial improvements in secondary endpoints and a consistent safety profile. The stock is currently trading at 50.6% below its estimated fair value, suggesting potential undervaluation amidst volatility and shareholder dilution over the past year.

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

OVH Groupe (ENXTPA:OVH)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: OVH Groupe S.A. offers a range of cloud services and hosting solutions globally, with a market capitalization of approximately €1 billion.

Operations: The company generates revenue from three main segments: public cloud (€140.71 million), private cloud (€514.59 million), and web cloud (€179.45 million).

Insider Ownership: 10.5%

OVH Groupe, a French growth company with high insider ownership, is poised for profitability within three years, outpacing average market growth. Despite its revenue growth (10.9% per year) trailing the 20% benchmark for high-growth firms, it surpasses France's market rate (5.8%). Challenges include a low forecasted Return on Equity (3.8%) and significant share price volatility recently. Strategic executive hires aim to bolster innovation and international expansion, reflecting positive development momentum despite financial losses in the latest half-year report.

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