Stock Analysis

3 Growth Companies On Euronext Paris With Up To 101% Earnings Growth

ENXTPA:LSS
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The French stock market has shown resilience, with the CAC 40 Index gaining 1.54% recently, buoyed by an interest rate cut from the European Central Bank. Amid this favorable economic backdrop, identifying growth companies with high insider ownership can be particularly rewarding for investors seeking robust earnings potential. In today's market environment, stocks that combine strong earnings growth with significant insider ownership often signal confidence from those closest to the company's operations and strategy.

Top 10 Growth Companies With High Insider Ownership In France

NameInsider OwnershipEarnings Growth
Groupe OKwind Société anonyme (ENXTPA:ALOKW)24.8%36%
Adocia (ENXTPA:ADOC)11.9%63%
VusionGroup (ENXTPA:VU)13.4%82.3%
Icape Holding (ENXTPA:ALICA)30.2%28.1%
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%149.1%
MedinCell (ENXTPA:MEDCL)15.8%93.9%
OSE Immunotherapeutics (ENXTPA:OSE)25.6%5.9%

Click here to see the full list of 24 stocks from our Fast Growing Euronext Paris Companies With High Insider Ownership screener.

Below we spotlight a couple of our favorites from our exclusive screener.

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 €1.09 billion.

Operations: The company's revenue segments are as follows: €172.65 million from the Americas and €118.54 million from the Asia-Pacific region.

Insider Ownership: 19.6%

Earnings Growth Forecast: 29.3% p.a.

Lectra's earnings are forecast to grow significantly at 29.3% per year, outpacing the French market's 12.4%. Despite trading at 46.4% below its estimated fair value, recent half-year results showed mixed performance with sales rising to €262.29 million but net income dropping to €12.51 million from €14.47 million a year ago. Analysts agree on a potential stock price increase of 20.1%. Return on Equity is expected to be modest at 13.2%.

ENXTPA:LSS Ownership Breakdown as at Sep 2024
ENXTPA:LSS Ownership Breakdown as at Sep 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 cap of €1.17 billion.

Operations: OVH Groupe S.A. generates revenue from three main 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 announcements highlight its commitment to innovation with the introduction of third-generation Bare Metal Advance servers powered by AMD EPYC 4004 processors. Despite a highly volatile share price, OVH is trading at 30.8% below its estimated fair value and is expected to grow earnings by 101.12% annually. While revenue growth of 9.7% per year outpaces the French market, Return on Equity remains low at a forecasted 1.7%.

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

VusionGroup (ENXTPA:VU)

Simply Wall St Growth Rating: ★★★★★★

Overview: VusionGroup S.A. provides digitalization solutions for commerce across Europe, Asia, and North America with a market cap of €2.41 billion.

Operations: The company's revenue segments include digitalization solutions for commerce in Europe, Asia, and North America.

Insider Ownership: 13.4%

Earnings Growth Forecast: 82.3% p.a.

VusionGroup is forecast to achieve profitability within three years, with revenue growth expected at 28.4% annually, outpacing the French market. The stock trades at 41.9% below its estimated fair value, and earnings are projected to grow by 82.32% per year. Despite reporting a net loss of €24.4 million for H1 2024, recent partnerships with Ace Hardware and Hy-Vee underscore its robust technological capabilities and expanding footprint in the retail sector.

ENXTPA:VU Earnings and Revenue Growth as at Sep 2024
ENXTPA:VU Earnings and Revenue Growth as at Sep 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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