Germany’s DAX index has recently exhibited impressive gains, driven by better-than-expected corporate earnings and a positive economic outlook. In this thriving market environment, identifying growth companies with high insider ownership can be particularly rewarding, as these firms often exhibit strong alignment between management and shareholder interests. This article explores three German growth companies that stand out in today’s market due to their robust growth potential and significant insider ownership, signaling confidence from those who know the company best.
Nagarro
Overview:
Nagarro SE, with a market cap of €1.20 billion, specializes in digital product engineering and technology solutions, serving clients across North America, Central Europe, and other international markets.
Operations:
The company’s revenue comes from its diverse range of services, including digital product engineering and technology solutions, catering to various regions such as North America and Europe.
Nagarro stands out as a growth company in Germany with substantial insider ownership. It is projected to grow its earnings by 17.89% annually, surpassing the overall German market growth rate. However, the company has faced challenges, with profit margins decreasing from 8.7% to 5.8%, and its stock has shown high volatility over the past three months. Despite trading at 36.5% below its estimated fair value and having considerable debt levels, Nagarro’s revenue is expected to grow faster than the market at 12.3% per year.
