Stock Analysis

3 Growth Companies With High Insider Ownership On Euronext Paris Growing Earnings At 101%

Published

The French market has shown resilience, with the CAC 40 Index adding 0.71% amid a broader European rally driven by slowing inflation rates. This positive economic backdrop provides fertile ground for growth companies, particularly those with high insider ownership, which often signals strong confidence from management. In the current market conditions, stocks that combine robust earnings growth and substantial insider ownership can be particularly appealing. These attributes suggest not only financial strength but also a vested interest from those who know the company best.

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%
S.M.A.I.O (ENXTPA:ALSMA)17.4%35.2%
Munic (ENXTPA:ALMUN)29.2%149.2%
MedinCell (ENXTPA:MEDCL)15.8%93.9%
OSE Immunotherapeutics (ENXTPA:OSE)25.6%5.9%

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

Let's dive into some prime choices out of the screener.

Lectra (ENXTPA:LSS)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Lectra SA offers 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 €1.07 billion.

Operations: The company's revenue segments include €172.65 million from the Americas and €118.54 million from the Asia-Pacific region, with a segment adjustment of €209.13 million.

Insider Ownership: 19.6%

Earnings Growth Forecast: 29.3% p.a.

Lectra SA, a growth company with high insider ownership in France, reported half-year sales of €262.29 million, up from €239.55 million last year, though net income decreased to €12.51 million from €14.47 million. Despite lower earnings per share (€0.33 vs. €0.38), analysts expect significant annual profit growth (29% per year) and revenue growth (10% per year), outpacing the French market averages and suggesting potential undervaluation at 47.6% below fair value estimates.

ENXTPA:LSS Earnings and Revenue Growth as at Sep 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 approximately €1.17 billion.

Operations: The company's revenue segments include Public Cloud (€169.01 million), Private Cloud (€589.61 million), and Web Cloud & Other (€185.43 million).

Insider Ownership: 10.5%

Earnings Growth Forecast: 101.1% p.a.

OVH Groupe, with substantial insider ownership, is forecast to grow revenue by 9.7% annually and become profitable within three years. Despite recent share price volatility and a low forecasted return on equity (1.7%), the company continues to innovate, as seen with its new ADV-Gen3 Bare Metal servers powered by AMD EPYC 4004 processors. These advancements position OVHcloud favorably in the competitive cloud infrastructure market, offering high performance at a compelling price ratio.

ENXTPA:OVH Ownership Breakdown as at Sep 2024

VusionGroup (ENXTPA:VU)

Simply Wall St Growth Rating: ★★★★★★

Overview: VusionGroup S.A. offers digitalization solutions for commerce across Europe, Asia, and North America with a market cap of €2.25 billion.

Operations: The company generates €801.96 million from installing and maintaining electronic shelf labels.

Insider Ownership: 13.4%

Earnings Growth Forecast: 25.7% p.a.

VusionGroup, with significant insider ownership, is poised for robust growth. Analysts project earnings to increase by 25.74% annually and revenue by 21.3%, outpacing the French market. Recent partnerships with Ace Hardware and Hy-Vee highlight VusionGroup's innovative digital shelf label technology, enhancing operational efficiency and customer experience across thousands of retail locations. These strategic collaborations underscore VusionGroup’s potential to drive substantial future growth in the retail tech sector.

ENXTPA:VU Ownership Breakdown as at Sep 2024

Turning Ideas Into Actions

Contemplating Other Strategies?

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.

New: AI Stock Screener & Alerts

Our new AI Stock Screener scans the market every day to uncover opportunities.

• Dividend Powerhouses (3%+ Yield)
• Undervalued Small Caps with Insider Buying
• High growth Tech and AI Companies

Or build your own from over 50 metrics.

Explore Now for Free

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com