Stock Analysis

Euronext Paris Growth Companies With High Insider Ownership September 2024

ENXTPA:VU
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As global markets grapple with economic uncertainties, France's CAC 40 Index has not been immune to the downturn, experiencing a notable 3.65% decline recently. Amid this backdrop, investors might find it prudent to focus on growth companies with high insider ownership, as these stocks often signal strong confidence from those closest to the business. In such volatile times, companies that exhibit robust growth potential and significant insider ownership can offer a compelling investment case. This article will explore three such stocks listed on Euronext Paris that stand out in September 2024 for their promising prospects and substantial insider stakes.

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%27.3%
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.

Let's review some notable picks from our screened stocks.

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 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 recent earnings report showed a rise in sales to €262.29 million for the half year ending June 30, 2024, though net income declined to €12.51 million. Despite this, the company is trading at 47.3% below its estimated fair value and has strong growth prospects with forecasted annual earnings growth of 29.3%, outpacing the French market's average of 12.3%. Analysts also expect a stock price increase of 22.2%.

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. offers public and private cloud services, shared hosting, and dedicated server solutions globally, with a market cap of €1.15 billion.

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

Insider Ownership: 10.5%

Earnings Growth Forecast: 101.1% p.a.

OVH Groupe is expected to grow its revenue by 9.7% annually, outpacing the French market's average of 5.7%. The company recently launched its third-generation Advance Bare Metal servers, enhancing performance and sustainability. OVH is forecast to become profitable within three years with earnings growth of 101.12% per year, although its Return on Equity is projected to be low at 1.7%. Trading at 31.7% below estimated fair value, it presents a potentially undervalued opportunity despite recent share price volatility.

ENXTPA:OVH Ownership Breakdown as at Sep 2024
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 €2.31 billion.

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

Insider Ownership: 13.4%

Earnings Growth Forecast: 25.7% p.a.

VusionGroup, a growth company with high insider ownership, is forecast to see annual revenue growth of 21.3%, significantly outpacing the French market's 5.7%. Recent partnerships with Ace Hardware and Hy-Vee underscore its innovative digital shelf label (DSL) technology, enhancing operational efficiency and customer experience. With earnings expected to grow at 25.7% annually and a projected Return on Equity of 29.5% in three years, VusionGroup demonstrates strong growth potential despite no recent insider trading activity.

ENXTPA:VU Ownership Breakdown as at Sep 2024
ENXTPA:VU Ownership Breakdown 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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