Stock Analysis

Top Growth Companies With High Insider Ownership On Euronext Paris August 2024

ENXTPA:RF
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As the French market continues to show resilience with the CAC 40 Index advancing by 2.48% in August, investor sentiment remains optimistic amid hopes for potential interest rate cuts. In this favorable environment, identifying growth companies with high insider ownership can be particularly advantageous, as it often signals strong confidence from those closest to the business. In this article, we will explore three top growth companies listed on Euronext Paris that exhibit significant insider ownership, a factor that can often indicate robust future performance and alignment of interests between insiders and shareholders.

Top 10 Growth Companies With High Insider Ownership In France

NameInsider OwnershipEarnings Growth
Groupe OKwind Société anonyme (ENXTPA:ALOKW)24.8%36%
VusionGroup (ENXTPA:VU)13.4%25.7%
Adocia (ENXTPA:ADOC)11.9%63%
Icape Holding (ENXTPA:ALICA)30.2%35.1%
Arcure (ENXTPA:ALCUR)21.4%27.5%
La Française de l'Energie (ENXTPA:FDE)19.9%31.9%
STIF Société anonyme (ENXTPA:ALSTI)16.4%28.5%
Munic (ENXTPA:ALMUN)29.2%149.2%
OSE Immunotherapeutics (ENXTPA:OSE)25.6%5.9%
MedinCell (ENXTPA:MEDCL)15.8%71.1%

Click here to see the full list of 23 stocks from our Fast Growing Euronext Paris Companies With High Insider Ownership screener.

Let's take a closer look at a couple of our picks from the screened companies.

Lectra (ENXTPA:LSS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Lectra SA provides industrial intelligence solutions for the fashion, automotive, and furniture markets across Northern Europe, Southern Europe, the Americas, and the Asia Pacific with a market cap of €1.04 billion.

Operations: The company's revenue segments are: Americas (€172.65 million), Asia-Pacific (€118.54 million), and Segment Adjustment (€209.13 million).

Insider Ownership: 19.6%

Earnings Growth Forecast: 29.3% p.a.

Lectra's earnings are forecast to grow 29.29% per year, outpacing the French market's 12.2%. The stock trades at 47.1% below its estimated fair value, suggesting potential upside. Despite a recent dip in net income to €12.51 million for H1 2024 from €14.47 million last year, sales increased to €262.29 million from €239.55 million, indicating solid revenue growth of 10.4% annually but slower than its earnings growth rate.

ENXTPA:LSS Ownership Breakdown as at Aug 2024
ENXTPA:LSS Ownership Breakdown as at Aug 2024

OVH Groupe (ENXTPA:OVH)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: OVH Groupe S.A. offers public and private cloud services, shared hosting, and dedicated server solutions globally, with a market cap of €1.15 billion.

Operations: The company generates revenue from three primary segments: Public Cloud (€169.01 million), Private Cloud (€589.61 million), and Web Cloud (€185.43 million).

Insider Ownership: 10.5%

Earnings Growth Forecast: 101.1% p.a.

OVH Groupe's recent product innovations, including the new ADV-Gen3 Bare Metal servers powered by AMD EPYC 4004 processors, highlight its commitment to technological advancement. The company is trading at 31.3% below its estimated fair value and is expected to become profitable within three years, with annual revenue growth forecasted at 10%, outpacing the French market. Despite high share price volatility, OVH's earnings are projected to grow significantly at over 100% per year.

ENXTPA:OVH Earnings and Revenue Growth as at Aug 2024
ENXTPA:OVH Earnings and Revenue Growth as at Aug 2024

Eurazeo (ENXTPA:RF)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Eurazeo SE is a private equity and venture capital firm that focuses on growth capital, acquisitions, leveraged buyouts, and investments in mid-market and public companies, with a market cap of €5.11 billion.

Operations: Eurazeo SE generates revenue from growth capital, acquisitions, leveraged buyouts, and investments in mid-market and listed public companies.

Insider Ownership: 12.1%

Earnings Growth Forecast: 49.9% p.a.

Eurazeo SE, a growth company with high insider ownership, is forecast to achieve significant revenue growth of 47.4% annually, outpacing the French market's 5.8%. Despite a recent half-year net loss of €104.56 million and a dividend yield that isn't well-covered by earnings or free cash flows, analysts expect the stock price to rise by 30.4%. The company has also completed a share buyback worth €109 million, reflecting strong insider confidence.

ENXTPA:RF Earnings and Revenue Growth as at Aug 2024
ENXTPA:RF Earnings and Revenue Growth as at Aug 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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