Insiders Signal Confidence with Major Purchases in Redcare Pharmacy Shares

Redcare Pharmacy NL0012044747

Despite a challenging year that saw its market valuation decline by more than half, key figures at Redcare Pharmacy have been actively acquiring the company's stock. Management and supervisory board members have made net investments totaling 1.66 million euros, a notable move that contrasts sharply with the share price's downward trajectory.

Recent regulatory filings reveal a clear pattern of insider buying. Purchases amounted to 14,870 shares against disposals of just 5,000. The average acquisition price was approximately 111 euros per share, a level significantly above the current trading price. The single largest transaction was executed by supervisory board member Michael Köhler, who invested 399,000 euros at a price of around 101 euros per share. Dr. Björn Söder, the chairman of the supervisory board, also increased his stake in mid-November.

Collectively, company insiders now hold a 14 percent stake, valued at roughly 171 million euros. This substantial commitment is widely interpreted as a signal that leadership anticipates a recovery for the beleaguered stock.

Financial Performance and Market Outlook

The company's operational fundamentals present a counter-narrative to the market's skepticism. For the third quarter of 2025, Redcare Pharmacy reported a 25 percent increase in revenue, reaching 719 million euros. A standout performer was the German prescription medication (Rx) business, which surged by 82 percent. This growth is attributed to the ongoing digital transformation within the healthcare sector and the adoption of the electronic prescription (E-Rezept). The adjusted EBITDA margin for the period was 2.4 percent.

Management has reaffirmed its full-year guidance, projecting revenue growth exceeding 25 percent and an EBITDA margin between 2 and 2.5 percent. Analyst sentiment appears predominantly favorable, with seven current recommendations advising investors to buy the shares and none issuing a sell recommendation. Price targets from market experts span a wide range from 74 to 214 euros, averaging 142.75 euros.

New Financial Leadership with Digital Expertise

Adding to the strategic developments, Hendrik Krampe assumed the role of Chief Financial Officer on December 1. He brings two decades of experience from major e-commerce players Amazon and eBay, including an eight-year tenure as Finance Director for Amazon's European marketplace business. According to Chairman Dr. Söder, Krampe's expertise in scaling digital business models will be instrumental in strengthening both the Rx and over-the-counter (OTC) segments.

This appointment underscores Redcare's strategic intent to maintain its growth trajectory despite the current weakness in its share price.

All eyes are now on December 19, when Redcare Pharmacy is scheduled to release its final audited results for the 2025 fiscal year. This report will provide critical evidence on whether the insider buying spree was a prescient indicator of an impending turnaround or if the market will require further proof of sustainable profitability.