As European markets experience a positive upswing, with the pan-European STOXX Europe 600 Index rising by 3.44% and major indexes in Germany, Italy, and France also showing gains, investors are keenly observing growth opportunities within the region. In this context of economic acceleration and easing trade concerns, stocks with high insider ownership often attract attention due to the confidence they signal from those closest to the company’s operations.
Top 10 Growth Companies With High Insider Ownership In Europe
Overview: Moltiply Group S.p.A. is a holding company in the financial services industry with a market cap of €1.64 billion.
Operations: The company's revenue is derived from two main segments: the Mavriq Division, contributing €221.12 million, and Moltiply BPO&Tech, generating €232.86 million.
Insider Ownership: 23%
Earnings Growth Forecast: 25.6% p.a.
Moltiply Group shows potential as a growth company with substantial insider ownership. Despite significant recent insider selling, the company's earnings are expected to grow at 25.6% annually, outpacing the Italian market's 7.4%. However, Moltiply carries a high level of debt and its Return on Equity is forecasted to be low at 19.9% in three years. The company recently announced an annual dividend of €0.12 per share amidst these growth prospects.
Overview: Atea ASA offers IT infrastructure and related solutions to businesses and public sector organizations in the Nordic countries and Baltic regions, with a market cap of NOK16.33 billion.
Operations: The company's revenue is derived from various regions, with Norway contributing NOK9.00 billion, Sweden NOK13.06 billion, Denmark NOK8.25 billion, Finland NOK3.57 billion, and the Baltics NOK1.80 billion; additionally, Group Shared Services account for NOK10.81 billion.
Insider Ownership: 29.1%
Earnings Growth Forecast: 21.3% p.a.
Atea, with high insider ownership, is poised for growth despite a recent dip in net income. Revenue is forecasted to grow at 8.3% annually, outpacing the Norwegian market's 1.8%. Earnings are expected to rise significantly at 21.3% per year, and Return on Equity is projected to reach a robust 25.9% in three years. The stock trades below its estimated fair value by 43%, though its dividend coverage remains weak amidst these promising growth forecasts.
Overview: Leonteq AG is a company that offers derivative investment products and services across Switzerland, Europe, Asia, and internationally, with a market cap of CHF290.76 million.
Operations: Leonteq AG generates revenue primarily from its brokerage segment, which accounted for CHF237.64 million.
Insider Ownership: 17.9%
Earnings Growth Forecast: 35.2% p.a.
Leonteq, benefiting from high insider ownership, is expanding its leverage product offerings in Switzerland, marking a strategic growth milestone. Despite a volatile share price and reduced profit margins from 8% to 2.5%, earnings are forecasted to grow significantly at 35.23% annually, outpacing the Swiss market's 10.8%. Trading at a substantial discount of 74.4% below estimated fair value, Leonteq's revenue is expected to rise by 11.2% per year while facing challenges in debt coverage and return on equity projections.
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 BIT:MOL OB:ATEA and SWX:LEON.
