Exploring High Insider Ownership Growth Stocks On The German Exchange

Amidst a backdrop of moderate gains across major German indices, with the DAX index recently ticking up by 0.32%, investors are showing renewed interest in growth companies. High insider ownership can be a reassuring signal of management’s confidence in a company’s future, making such stocks potentially attractive in the current economic environment where discerning stability and commitment is key.

Top 10 Growth Companies With High Insider Ownership In Germany

Name	Insider Ownership	Earnings Growth
pferdewetten.de (XTRA:EMH)	26.8%	75.4%
Deutsche Beteiligungs (XTRA:DBAN)	35.3%	31.6%
YOC (XTRA:YOC)	24.8%	22.2%
NAGA Group (XTRA:N4G)	14.1%	58.1%
Exasol (XTRA:EXL)	25.3%	107.4%
Alelion Energy Systems (DB:2FZ)	37.4%	106.6%
Stratec (XTRA:SBS)	30.9%	22%
Redcare Pharmacy (XTRA:RDC)	17.7%	46.9%
Your Family Entertainment (DB:RTV)	17.5%	116.8%
Friedrich Vorwerk Group (XTRA:VH2)	18%	30.4%

Click here to see the full list of 18 stocks from our Fast Growing German Companies With High Insider Ownership screener.

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

Brockhaus Technologies

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Brockhaus Technologies AG operates as a private equity firm with a market capitalization of approximately €307.16 million.

Operations: Brockhaus Technologies AG generates revenue primarily through its Financial Technologies and Security Technologies segments, which contributed €153.43 million and €39.43 million respectively.

Insider Ownership: 26.6%

Earnings Growth Forecast: 74.2% p.a.

Brockhaus Technologies AG, a growth company with notable insider ownership, is navigating through a transformative phase. Despite recent losses—EUR 1.38 million in Q1 2024 and EUR 3.34 million for the full year of 2023—the firm is poised for recovery with expected revenue between €220 million and €240 million in 2024, indicating strong organic growth projections. The transition to profitability is anticipated within three years, supported by strategic share buybacks totaling €11 million. This financial trajectory suggests Brockhaus is aligning its operations towards sustainable growth despite current challenges.

• Navigate through the intricacies of Brockhaus Technologies with our comprehensive analyst estimates report here.

• The valuation report we've compiled suggests that Brockhaus Technologies' current price could be quite moderate.

XTRA:BKHT Ownership Breakdown as at Jun 2024

Redcare Pharmacy

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Redcare Pharmacy NV is an online pharmacy operating across the Netherlands, Germany, Italy, Belgium, Switzerland, Austria, and France with a market capitalization of approximately €2.40 billion.

Operations: The company generates revenue primarily through its DACH segment, which brought in €1.62 billion, and its International operations, contributing €0.37 billion.

Insider Ownership: 17.7%

Earnings Growth Forecast: 46.9% p.a.

Redcare Pharmacy, amidst a volatile market, reports promising growth prospects with earnings expected to increase significantly. The company's revenue is growing at 17% annually, outpacing the German market's 5.1%. Although currently unprofitable, Redcare is projected to reach profitability within three years, a performance above average market growth. Recent financials show an improvement in net losses and a substantial increase in sales to €560.22 million from €372.05 million year-over-year, highlighting operational progress despite shareholder dilution over the past year.

• Delve into the full analysis future growth report here for a deeper understanding of Redcare Pharmacy.

• According our valuation report, there's an indication that Redcare Pharmacy's share price might be on the expensive side.

XTRA:RDC Earnings and Revenue Growth as at Jun 2024

Friedrich Vorwerk Group

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Friedrich Vorwerk Group SE specializes in solutions for the transformation and transportation of energy across Germany and Europe, with a market capitalization of approximately €0.37 billion.

Operations: The company generates revenue through segments focused on electricity (€72.07 million), natural gas (€157.60 million), clean hydrogen (€28.59 million), and adjacent opportunities (€118.73 million).

Insider Ownership: 18%

Earnings Growth Forecast: 30.4% p.a.

Friedrich Vorwerk Group SE, a German growth company with high insider ownership, reported a solid increase in quarterly and annual financial metrics. Sales rose to €76.71 million from €73.08 million in Q1 2024, with net income improving significantly to €1.56 million from €0.748 million year-over-year. Despite a challenging year with lower net income of €10.15 million compared to the previous year's €17.14 million, the company is poised for robust future growth with earnings expected to grow by 30.45% annually and revenue forecasted at 7.9% yearly growth, both outpacing the broader German market predictions.

• Click to explore a detailed breakdown of our findings in Friedrich Vorwerk Group's earnings growth report.

• Our expertly prepared valuation report Friedrich Vorwerk Group implies its share price may be too high.

XTRA:VH2 Earnings and Revenue Growth as at Jun 2024

Key Takeaways

• Reveal the 18 hidden gems among our Fast Growing German Companies With High Insider Ownership screener with a single click here.

• Already own these companies? Link your portfolio to Simply Wall St and get alerts on any new warning signs to your stocks.

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Curious About Other Options?

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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.

Companies discussed in this article include XTRA:BKHT XTRA:RDC and XTRA:VH2.

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