The Insider Edge: Why European Tech & Healthcare Leaders Are Built for Uncertainty

In an era of slowing global growth and market volatility, investors are searching for companies that can thrive amid uncertainty. One often-overlooked catalyst for outperformance? insider ownership. When executives and board members hold significant stakes in their firms, it signals confidence in long-term prospects—a critical edge in industries like tech and healthcare. Today, two European darlings—Fortnox (FNOX) and Sensirion (SENS)—stand out for their insider conviction and sector resilience, offering asymmetric returns in a challenging macro backdrop.

The Insider Conviction Play: Why Ownership Matters

Insiders buying shares or retaining stakes despite market dips are akin to a CEO placing a personal bet on their company's future. This alignment of interests is particularly powerful in high-growth sectors, where execution risk is high but rewards are exponential.

Take Fortnox, a Swedish SaaS leader in accounting software, which boasts 39.8% insider ownership—the highest among peers. Despite recent sales by some executives (e.g., CEO Jesper Svensson offloading 125,600 shares in June 2025), the net ownership remains robust, and insiders continue to hold long-term stakes. This stability is underpinned by Fortnox's Q1 2025 results, which delivered 21% revenue growth and a 53% EBITDA margin. Even more compelling: an EQT-led takeover bid at a 22x EV/Sales multiple highlights strategic validation of its value.

Meanwhile, Sensirion, a Swiss sensor technology powerhouse, maintains 19.9% insider ownership, with no major sales in the past three months. Its insiders' silence speaks volumes—especially as the firm partners with AI innovator Sintropy.ai to expand into high-margin automation solutions. With 70.7% annual earnings growth projected, Sensirion's management is all-in on its vision.

Fortnox: A SaaS Titan with Insider-Backed Upside

Fortnox's moat lies in its cloud-based accounting platform, which serves 25,000+ SMEs across Europe. Its 20.1% earnings growth is fueled by subscription renewals and cross-selling of financial services (e.g., loans, payroll). Yet its valuation metrics—70x P/E and 45.6x EV/EBITDA—seem rich. However, context matters:

• The PEG ratio of 1.85 (P/E divided by 5-year EBITDA growth of 37.7%) suggests the stock is priced for growth, not overvalued.
• A $5.7B takeover bid by EQT underscores that institutional investors see Fortnox as undervalued relative to its $5.8B market cap.

Risk? Near-term insider sales (e.g., CFO Håkan Rosén's 10.3M SEK disposal) could spook short-term traders. But with 75% of shares held by insiders and institutions, this is a stock to buy on dips.

Sensirion: Sensor Tech's AI-Driven Growth Machine

Sensirion's 19.9% insider ownership is a beacon of confidence in its $370M revenue run rate and AI-driven expansion. Its CMOSens® sensors are critical in industries like HVAC, healthcare diagnostics, and EVs—a trifecta of high-growth markets.

The PEG ratio is N/A due to Sensirion's recent net loss (-$28.88M CHF in 2024), but LTM EBITDA of $45.1M (12% margin) and partnerships with Sintropy.ai hint at a turnaround. Key catalysts:

• AI integration: Sensors + AI creates sticky enterprise contracts, boosting recurring revenue.
• Market tailwinds: The sensor industry's $30B+ addressable market is growing at 12% annually.

Valuation check: At 3.8x EV/Revenue, Sensirion trades below peers like Texas Instruments (5.2x) and Analog Devices (6.1x). Its EV/EBITDA of 31.2x is reasonable for a firm with 70%+ earnings growth visibility.

Why Both Stocks Excel in a Slowing Economy

Both companies thrive in recession-resistant niches:

1. Fortnox's SaaS model ensures predictable cash flows, even as macro headwinds slow discretionary spending.
2. Sensirion's sensor tech is embedded in critical infrastructure (e.g., healthcare equipment, EVs), reducing exposure to cyclical demand.

Moreover, insider ownership acts as a stabilizer. When management holds >19% of shares, they're incentivized to avoid short-term cost-cutting that might hurt long-term health.

Investment Thesis: Buy the Insider Conviction

• Fortnox: A buy on dips below SEK 85 ($9), with a 12-month target of SEK 110 ($12) based on EQT's bid and growth trajectory.
• Sensirion: Accumulate below CHF 80 ($95), targeting CHF 120 ($140) within 18 months as AI partnerships boost margins.

Both are long-term holds, not trades. While macro risks persist (e.g., regulatory hurdles for Sensirion, execution risks for Fortnox's acquisition), insider conviction and sector tailwinds make these stocks asymmetric bets.

Historically, buying these stocks on their quarterly earnings announcement days and holding for 20 trading days has delivered an average return of 4.02% for Sensirion and 1.01% for Fortnox since 2020, underscoring the catalyst power of positive financial updates. This historical performance aligns with their insider-backed growth narratives, reinforcing the case for strategic entries on earnings catalysts.

Final Call: Insider-Backed Growth is the New Safe Haven

In an era of uncertainty, Fortnox and Sensirion offer the rare combination of insider conviction, sector resilience, and undervalued metrics. Their executives aren't just shareholders—they're stakeholders in their firms' futures. Investors would be wise to follow their lead.

Action Items:
- Fortnox: Use dips to build a position; monitor for a potential EQT deal.
- Sensirion: Focus on AI partnership milestones and margin improvements.

The next decade will belong to companies where leadership eats their own cooking—and these two are serving a feast.

Disclosure: The analysis is for educational purposes. Always conduct your own research before investing.