As the European market continues to show resilience with the STOXX Europe 600 Index marking its longest streak of weekly gains since 2012, investors are keenly observing opportunities amidst mixed economic signals and inflation concerns. In this environment, growth companies with high insider ownership often attract attention as they can indicate strong internal confidence in a company’s future prospects.
Top 10 Growth Companies With High Insider Ownership In Europe
Overview: Técnicas Reunidas, S.A. is an engineering and construction company that specializes in designing and managing industrial plant projects globally, with a market cap of approximately €1.25 billion.
Operations: The company's revenue is primarily derived from its Natural Gas segment at €2.55 billion, followed by Refining at €669.71 million, and Petrochemical at €655.17 million, with additional contributions from Low Carbon Technologies amounting to €111.52 million.
Insider Ownership: 11.5%
Técnicas Reunidas demonstrates solid growth potential, with earnings projected to rise by 17.5% annually, outpacing the Spanish market. Recent earnings showed substantial improvement, with net income increasing to €89.94 million from €60.95 million the previous year. Despite a volatile share price and no recent insider trading activity, its price-to-earnings ratio of 14.9x suggests it is undervalued compared to the broader market's 18.5x, enhancing its appeal as a growth stock with high insider ownership in Europe.
Overview: Partners Group Holding AG is a private equity firm that focuses on direct, secondary, and primary investments in private equity, real estate, infrastructure, and debt with a market cap of CHF36.02 billion.
Operations: The company's revenue segments include CHF1.19 billion from Private Equity, CHF254.90 million from Infrastructure, CHF218.90 million from Private Credit, and CHF190.90 million from Real Estate.
Insider Ownership: 17%
Partners Group Holding is pursuing strategic acquisitions to enhance its real estate vertical, focusing on financially accretive opportunities. The company forecasts new client assets between US$26 billion and US$31 billion for 2025, including growth from acquiring Empira Group. Despite high debt levels and a dividend not fully covered by earnings, Partners Group's revenue and earnings are expected to grow at 14.6% annually, outpacing the Swiss market. Return on equity is projected to be very high at 52.7%.
Overview: Verve Group SE operates a software platform facilitating the automated buying and selling of digital advertising space in North America and Europe, with a market cap of €672.87 million.
Operations: The company generates revenue through its Demand Side Platforms (DSP) at €100.55 million and Supply Side Platforms (SSP) at €390.27 million.
Insider Ownership: 25.9%
Verve Group SE has seen substantial insider buying over the past three months, indicating confidence from within despite a volatile share price. The company is trading at 70.7% below its estimated fair value, presenting potential investment appeal. Although profit margins have decreased from last year, earnings are forecast to grow significantly at 28.5% annually, surpassing the German market's growth rate of 16.9%. Recent earnings showed strong sales growth but declining annual net income and EPS compared to last year.
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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 BME:TRE SWX:PGHN and XTRA:M8G.
