Top German Growth Stocks With High Insider Ownership For August 2024

As the German market continues to navigate a mixed economic landscape, the DAX index has shown resilience with a 1.35% gain amid varied earnings reports and fluctuating investor sentiment. In this environment, identifying growth companies with high insider ownership can offer unique advantages, as these firms often benefit from aligned interests between management and shareholders. In this article, we explore three top German growth stocks characterized by significant insider ownership—an indicator that can suggest confidence in the company's long-term prospects.

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)	39.3%	34.7%
YOC (XTRA:YOC)	24.8%	21.8%
NAGA Group (XTRA:N4G)	14.1%	78.3%
Exasol (XTRA:EXL)	25.3%	105.4%
Alelion Energy Systems (DB:2FZ)	37.4%	106.6%
Redcare Pharmacy (XTRA:RDC)	17.7%	49.9%
Your Family Entertainment (DB:RTV)	17.5%	116.8%
Friedrich Vorwerk Group (XTRA:VH2)	18%	30.4%
Encavis (XTRA:ECV)	15.6%	31.4%

Click here to see the full list of 20 stocks from our Fast Growing German Companies With High Insider Ownership screener.

Here's a peek at a few of the choices from the screener.

Hypoport

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Hypoport SE develops and markets technology platforms for the financial services, property, and insurance industries in Germany with a market cap of €1.84 billion.

Operations: The company's revenue segments include €155.60 million from the Credit Platform, €66.29 million from the Insurance Platform, and €153.22 million from Segment Adjustment.

Insider Ownership: 35.1%

Hypoport SE demonstrates strong growth potential with earnings forecasted to increase by 33.15% annually, significantly outpacing the German market's 19.5%. Recent financial results show a substantial year-over-year earnings increase from €0.503 million to €3.04 million in Q1 2024, despite revenue growth projections of 13.1% per year being slower than desired benchmarks. The company has high insider ownership and no significant insider trading activity over the past three months, although its share price remains highly volatile.

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

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

XTRA:HYQ Earnings and Revenue Growth as at Aug 2024

Redcare Pharmacy

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Redcare Pharmacy NV operates an online pharmacy business across the Netherlands, Germany, Italy, Belgium, Switzerland, Austria, and France with a market cap of €2.82 billion.

Operations: Redcare Pharmacy NV generates revenue from its online pharmacy operations in the Netherlands, Germany, Italy, Belgium, Switzerland, Austria, and France.

Insider Ownership: 17.7%

Redcare Pharmacy is forecast to grow earnings by 49.87% annually and become profitable within three years, outperforming the German market. Despite a highly volatile share price and past shareholder dilution, the company trades at 61.2% below its estimated fair value. Recent half-year results show sales rising to €1.12 billion from €791.94 million, with net loss narrowing to €12.07 million from €14.78 million a year ago, reflecting strong revenue growth but ongoing profitability challenges.

• Unlock comprehensive insights into our analysis of Redcare Pharmacy stock in this growth report.

• The analysis detailed in our Redcare Pharmacy valuation report hints at an inflated share price compared to its estimated value.

XTRA:RDC Ownership Breakdown as at Aug 2024

Zalando

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Zalando SE operates an online platform for fashion and lifestyle products, with a market cap of €6.09 billion.

Operations: Zalando SE generates revenue from its online platform for fashion and lifestyle products, with significant contributions from various segments totaling €10.40 billion.

Insider Ownership: 10.4%

Zalando is forecast to grow earnings by 26.4% annually, outpacing the German market's 19.5%. Despite a low projected return on equity (12.6%) in three years, it trades at 53% below its estimated fair value and has shown significant past earnings growth of 184.3%. Recent guidance indicates modest sales growth between 0-5% for 2024, with an expected operating profit, reflecting cautious optimism amid slower revenue expansion forecasts (5.4%).

• Get an in-depth perspective on Zalando's performance by reading our analyst estimates report here.

• Our comprehensive valuation report raises the possibility that Zalando is priced higher than what may be justified by its financials.

XTRA:ZAL Ownership Breakdown as at Aug 2024

Where To Now?

• Delve into our full catalog of 20 Fast Growing German Companies With High Insider Ownership here.

• Are any of these part of your asset mix? Tap into the analytical power of Simply Wall St's portfolio to get a 360-degree view on how they're shaping up.

• Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors.

Contemplating Other Strategies?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.

• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.

• Find companies with promising cash flow potential yet trading below their fair value.

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:HYQ XTRA:RDC and XTRA:ZAL.

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