Stock Analysis

Unveiling Exclusive Networks And Two More Euronext Paris Growth Stocks With High Insider Ownership

ENXTPA:MEDCL
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Amidst a backdrop of political shifts and economic recalibrations, the French market has shown resilience with the CAC 40 Index climbing significantly. In such a climate, growth companies with high insider ownership on Euronext Paris stand out as potentially compelling avenues for investors seeking alignment with management's interests in robust market conditions.

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)11.9%63%
Icape Holding (ENXTPA:ALICA)30.2%26.2%
Arcure (ENXTPA:ALCUR)21.4%42.4%
La Française de l'Energie (ENXTPA:FDE)20.1%31.9%
S.M.A.I.O (ENXTPA:ALSMA)17.3%35.2%
Munic (ENXTPA:ALMUN)29.4%149.2%
MedinCell (ENXTPA:MEDCL)16.4%70.4%
OSE Immunotherapeutics (ENXTPA:OSE)25.6%5.9%

Click here to see the full list of 21 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.

Exclusive Networks (ENXTPA:EXN)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Exclusive Networks SA is a global cybersecurity specialist focusing on digital infrastructure, with a market capitalization of approximately €2.09 billion.

Operations: Exclusive Networks' revenue is primarily generated from three geographical segments: €420 million from APAC, €4.04 billion from EMEA, and €689 million from the Americas.

Insider Ownership: 13.2%

Earnings Growth Forecast: 28.4% p.a.

Exclusive Networks, a French company with high insider ownership, shows promising growth prospects despite recent revenue declines (€393 million in Q1 2024 from €399 million year ago). The firm anticipates sales growth between 10% and 12% for FY2024. Recent events include a proposed acquisition by Permira Advisers and Clayton, Dubilier & Rice for €2.2 billion and auditor change to KPMG. With earnings expected to grow at 28.44% annually, faster than the market, its financial outlook remains robust albeit with a forecasted low return on equity of 14.3%.

ENXTPA:EXN Ownership Breakdown as at Jul 2024
ENXTPA:EXN Ownership Breakdown as at Jul 2024

Lectra (ENXTPA:LSS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Lectra SA offers industrial intelligence solutions for the fashion, automotive, and furniture sectors across Northern Europe, Southern Europe, the Americas, and Asia Pacific, with a market capitalization of approximately €1.11 billion.

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

Insider Ownership: 19.6%

Earnings Growth Forecast: 28.6% p.a.

Lectra, a French firm with significant insider ownership, reported a slight dip in Q1 2024 earnings with net income at €7.17 million from €7.63 million year-over-year and sales increasing to €129.56 million. Despite this, the company is poised for robust growth with revenue and earnings expected to outpace the French market significantly at 11.3% and 28.6% per year respectively. However, its return on equity is projected to remain low at 13.3%. Trading at 33.4% below its estimated fair value suggests potential undervaluation.

ENXTPA:LSS Earnings and Revenue Growth as at Jul 2024
ENXTPA:LSS Earnings and Revenue Growth as at Jul 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 treatments across multiple therapeutic areas, with a market capitalization of approximately €431.26 million.

Operations: The company generates its revenues primarily from the pharmaceutical sector, totaling €11.95 million.

Insider Ownership: 16.4%

Earnings Growth Forecast: 70.4% p.a.

MedinCell, a French growth company with high insider ownership, faces challenges despite potential. Recently reporting a net loss reduction from €32.01 million to €25.04 million year-over-year and a slight revenue decrease, its financial health shows signs of strain. However, MedinCell is expected to become profitable within three years, with projected earnings growth of 70.38% annually and revenue growth outpacing the market at 43.8% per year—indicative of its recovery trajectory and innovation strength in pharmaceutical development.

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

Summing It All Up

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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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