As global markets face heightened tensions in the Middle East and fluctuating oil prices, European indices, including those in the Netherlands, have experienced cautious investor sentiment. In this environment of uncertainty, growth companies with high insider ownership on Euronext Amsterdam may offer a unique appeal due to their potential for alignment between management and shareholder interests.
Top 5 Growth Companies With High Insider Ownership In The Netherlands
Overview: Basic-Fit N.V., along with its subsidiaries, operates fitness clubs and has a market cap of €1.63 billion.
Operations: The company's revenue segments include €505.17 million from Benelux and €626.41 million from France, Spain & Germany.
Insider Ownership: 12%
Earnings Growth Forecast: 77.7% p.a.
Basic-Fit is experiencing significant earnings growth, forecasted at 77.68% annually over the next three years, outpacing the Dutch market. However, revenue growth is slower at 14.8% per year and interest payments aren't well covered by earnings. Recent investor activism highlights potential strategic shifts as Buckley Capital Management urges a sale to unlock value, citing strong private equity interest. Despite these dynamics, profit margins have declined from last year’s figures.
Overview: Envipco Holding N.V. specializes in the design, development, manufacture, assembly, marketing, sale, leasing, and servicing of reverse vending machines for collecting and processing used beverage containers across the Netherlands, North America, and Europe with a market cap of €305.76 million.
Operations: Envipco Holding N.V. generates revenue through the design, development, production, and servicing of reverse vending machines for collecting used beverage containers across its primary markets in the Netherlands, North America, and Europe.
Insider Ownership: 36.7%
Earnings Growth Forecast: 84.4% p.a.
Envipco Holding is positioned for substantial growth, with earnings projected to increase significantly at 84.38% annually over the next three years, surpassing Dutch market averages. Revenue is also expected to grow robustly at 34.6% per year. Despite recent share dilution and a volatile share price, Envipco secured a major follow-on order in Romania for its Optima RVMs, enhancing its growth prospects. Recent board changes include the resignation of George Katsaros due to health reasons.
Overview: MotorK plc, with a market cap of €264.71 million, offers software-as-a-service solutions for the automotive retail industry across Italy, Spain, France, Germany, and the Benelux Union.
Operations: The company generates revenue of €42.50 million from its software and programming services tailored for the automotive retail sector across several European countries.
Insider Ownership: 35.7%
Earnings Growth Forecast: 108.4% p.a.
MotorK is set for significant growth, with revenue anticipated to rise by 22.1% annually, outpacing the Dutch market. The company aims to become profitable within three years, despite recent shareholder dilution and a current net loss of €6.48 million for the half-year ending June 2024. Recent executive changes include Zoltan Gelencser joining as CFO, bringing extensive global finance experience which may bolster strategic financial management amid its growth trajectory.
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 ENXTAM:BFIT ENXTAM:ENVI and ENXTAM:MTRK.
