As global markets respond to China's robust stimulus measures, European indices, including the pan-European STOXX Europe 600 Index, have shown a positive rebound with hopes for potential interest rate cuts amid slowing business activity. In this context of shifting economic landscapes and investor sentiment, identifying growth companies with significant insider ownership can be particularly appealing as it often indicates strong confidence from those closest to the company's operations.
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 €1.61 billion.
Operations: The company's revenue segments consist of €505.17 million from Benelux and €626.41 million from France, Spain & Germany.
Insider Ownership: 12%
Basic-Fit has shown promising growth potential with its revenue reaching €584.76 million for H1 2024, up from €500.42 million the previous year, and net income turning positive at €4.18 million. However, recent investor activism by Buckley Capital Management highlights concerns about missed opportunities for maximizing shareholder value through a strategic sale. Despite this, analysts forecast significant earnings growth of 77.68% annually over the next three years, outpacing the Dutch market's average growth rate.
Overview: Envipco Holding N.V. operates in the design, development, manufacturing, assembly, marketing, sales, 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 €299.99 million.
Operations: Envipco generates its revenue through the design, development, production, and servicing of reverse vending machines used for the collection and processing of beverage containers in key markets including the Netherlands, North America, and Europe.
Insider Ownership: 36.7%
Envipco Holding has shown robust growth potential, with revenue for the first half of 2024 reaching €54.01 million, doubling from the previous year. Despite a net loss reduction to €0.406 million, its earnings are projected to grow significantly at 82.67% annually, surpassing the Dutch market's average growth rate. Recent board changes include Ms. Charlotta Gylche's appointment and Mr. George Katsaros' resignation due to health reasons, alongside BDO Audit & Assurance N.V.'s auditor appointment for 2024.
Overview: PostNL N.V. offers postal and logistics services to businesses and consumers in the Netherlands, Europe, and internationally, with a market cap of €617.60 million.
Operations: The company's revenue is primarily derived from two segments: Parcels, contributing €2.28 billion, and Mail in The Netherlands, generating €1.35 billion.
Insider Ownership: 35.6%
PostNL's earnings are forecast to grow significantly at 36.38% annually, outpacing the Dutch market's average. Despite a challenging financial position with high debt and a recent net loss of €9 million for the first half of 2024, its stock trades at a substantial discount to estimated fair value. Revenue growth is modest at 2.6% annually, lagging behind market expectations, while dividends remain unsustainable due to insufficient earnings coverage.
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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 ENXTAM:BFIT ENXTAM:ENVI and ENXTAM:PNL.
