diff --git a/go.mod b/go.mod
index 43e05637d..23a5159fa 100644
--- a/go.mod
+++ b/go.mod
@@ -6,6 +6,7 @@ require (
 	github.com/gboddin/go-www-authenticate-parser v0.0.0-20230926203616-ec0b649bb077
 	github.com/google/go-containerregistry v0.19.2
 	github.com/olekukonko/tablewriter v0.0.5
+	github.com/rogpeppe/go-internal v1.10.0
 	github.com/spf13/cobra v1.8.1
 	github.com/stretchr/testify v1.9.0
 	k8s.io/api v0.30.2
diff --git a/internal/communitymodules/modules.go b/internal/communitymodules/modules.go
index 47d66eb42..4f40b2534 100644
--- a/internal/communitymodules/modules.go
+++ b/internal/communitymodules/modules.go
@@ -5,11 +5,13 @@ import (
 	"fmt"
 	"io"
 	"net/http"
+	"slices"
 	"strings"
 
 	"github.com/kyma-project/cli.v3/internal/clierror"
 	"github.com/kyma-project/cli.v3/internal/cmdcommon"
 	"github.com/kyma-project/cli.v3/internal/kyma"
+	"github.com/rogpeppe/go-internal/semver"
 	v1 "k8s.io/api/apps/v1"
 	"k8s.io/apimachinery/pkg/api/errors"
 	metav1 "k8s.io/apimachinery/pkg/apis/meta/v1"
@@ -41,15 +43,30 @@ func modulesCatalog(url string) (moduleMap, clierror.Error) {
 
 	catalog := make(moduleMap)
 	for _, rec := range modules {
+		latestVersion := getLatestVersion(rec.Versions)
 		catalog[rec.Name] = row{
 			Name:          rec.Name,
-			Repository:    rec.Versions[0].Repository,
-			LatestVersion: rec.Versions[0].Version,
+			Repository:    latestVersion.Repository,
+			LatestVersion: latestVersion.Version,
 		}
 	}
 	return catalog, nil
 }
 
+func getLatestVersion(versions []Version) Version {
+	return slices.MaxFunc(versions, func(a, b Version) int {
+		cmpA := a.Version
+		if !semver.IsValid(cmpA) {
+			cmpA = fmt.Sprintf("v%s", cmpA)
+		}
+		cmpB := b.Version
+		if !semver.IsValid(cmpB) {
+			cmpB = fmt.Sprintf("v%s", cmpB)
+		}
+		return semver.Compare(cmpA, cmpB)
+	})
+}
+
 // getCommunityModules returns a list of all available modules from the community-modules repository
 func getCommunityModules(url string) (Modules, clierror.Error) {
 	resp, err := http.Get(url)
@@ -179,7 +196,8 @@ func installedModules(url string, client cmdcommon.KubeClientConfig, cfg cmdcomm
 func getInstalledModules(modules Modules, client cmdcommon.KubeClientConfig, cfg cmdcommon.KymaConfig) (moduleMap, clierror.Error) {
 	installed := make(moduleMap)
 	for _, module := range modules {
-		managerName := getManagerName(module)
+		latestVersion := getLatestVersion(module.Versions)
+		managerName := getManagerName(latestVersion)
 		deployment, err := client.KubeClient.Static().AppsV1().Deployments("kyma-system").
 			Get(cfg.Ctx, managerName, metav1.GetOptions{})
 		if err != nil && !errors.IsNotFound(err) {
@@ -191,7 +209,7 @@ func getInstalledModules(modules Modules, client cmdcommon.KubeClientConfig, cfg
 		}
 
 		installedVersion := getInstalledVersion(deployment)
-		moduleVersion := module.Versions[0].Version
+		moduleVersion := latestVersion.Version
 		installed[module.Name] = row{
 			Name:    module.Name,
 			Version: calculateVersion(moduleVersion, installedVersion),
@@ -206,8 +224,8 @@ func getInstalledVersion(deployment *v1.Deployment) string {
 	return nameAndTag[len(nameAndTag)-1]
 }
 
-func getManagerName(module Module) string {
-	managerPath := strings.Split(module.Versions[0].ManagerPath, "/")
+func getManagerName(version Version) string {
+	managerPath := strings.Split(version.ManagerPath, "/")
 	return managerPath[len(managerPath)-1]
 }
 
diff --git a/internal/communitymodules/modules_test.go b/internal/communitymodules/modules_test.go
index 5113c3979..804e9a599 100644
--- a/internal/communitymodules/modules_test.go
+++ b/internal/communitymodules/modules_test.go
@@ -25,8 +25,8 @@ func Test_modulesCatalog(t *testing.T) {
 		expectedResult := moduleMap{
 			"module1": row{
 				Name:          "module1",
-				Repository:    "https://repo/path/module1.git",
-				LatestVersion: "1.2.3",
+				Repository:    "https://repo2/path/module1.git",
+				LatestVersion: "1.7.0",
 				Version:       "",
 				Managed:       "",
 			},
@@ -66,6 +66,30 @@ func Test_modulesCatalog(t *testing.T) {
 		require.Contains(t, err.String(), "while handling response")
 		require.Contains(t, err.String(), "while unmarshalling")
 	})
+	t.Run("greatest version is latest", func(t *testing.T) {
+		expectedResult := moduleMap{
+			"module1": row{
+				Name:          "module1",
+				Repository:    "https://repo2/path/module1.git",
+				LatestVersion: "1.7.0",
+				Version:       "",
+				Managed:       "",
+			},
+			"module2": row{
+				Name:          "module2",
+				Repository:    "https://repo/path/module2.git",
+				LatestVersion: "4.5.6",
+				Version:       "",
+				Managed:       "",
+			},
+		}
+
+		httpServer := httptest.NewServer(http.HandlerFunc(fixHttpResponseHandler(200, fixCommunityModulesResponse())))
+		defer httpServer.Close()
+		modules, err := modulesCatalog(httpServer.URL)
+		require.Nil(t, err)
+		require.Equal(t, expectedResult, modules)
+	})
 }
 
 func Test_ManagedModules(t *testing.T) {
@@ -137,7 +161,7 @@ func Test_installedModules(t *testing.T) {
 		expectedResult := moduleMap{
 			"module1": row{
 				Name:    "module1",
-				Version: "1.2.3",
+				Version: "1.7.0",
 			},
 			"module2": row{
 				Name:    "module2",
@@ -150,7 +174,7 @@ func Test_installedModules(t *testing.T) {
 		defer httpServer.Close()
 
 		staticClient := k8s_fake.NewSimpleClientset(
-			fixTestDeployment("module1-controller-manager", "kyma-system", "1.2.3"),
+			fixTestDeployment("module1-controller-manager", "kyma-system", "1.7.0"),
 			fixTestDeployment("module2-manager", "kyma-system", "6.7.8"), // outdated
 			fixTestDeployment("other-deployment", "kyma-system", "1.2.3"))
 		kubeClient := &kube_fake.FakeKubeClient{
@@ -286,14 +310,19 @@ func fixCommunityModulesResponse() string {
 		"name": "module1",
 		"versions": [
 		  {
-			"version": "1.2.3",
-			"repository": "https://repo/path/module1.git",
-			"managerPath": "/some/path/module1-controller-manager"
+			"version": "1.5.3",
+			"repository": "https://repo1/path/module1.git",
+			"managerPath": "/some/path1/module1-controller-manager"
 		  },
 		  {
 			"version": "1.7.0",
-			"repository": "https://other/repo/path/module1.git",
-			"managerPath": "/other/path/module1-controller-manager"
+			"repository": "https://repo2/path/module1.git",
+			"managerPath": "/other/path2/module1-controller-manager"
+		  },
+		  {
+			"version": "1.3.4",
+			"repository": "https://repo3/path/module1.git",
+			"managerPath": "/some/path3/module1-controller-manager"
 		  }
 		]
 	  },
@@ -309,3 +338,57 @@ func fixCommunityModulesResponse() string {
 	  }
 	]`
 }
+
+func Test_getLatestVersion(t *testing.T) {
+	t.Run("simple versions", func(t *testing.T) {
+		result := getLatestVersion([]Version{
+			{
+				Version: "1.5.3",
+			},
+			{
+				Version: "1.7.1",
+			},
+			{
+				Version: "1.4.3",
+			},
+		})
+		assert.Equal(t, Version{
+			Version: "1.7.1",
+		}, result)
+	})
+	t.Run("v prefix", func(t *testing.T) {
+		result := getLatestVersion([]Version{
+			{
+				Version: "v1.5.3",
+			},
+			{
+				Version: "v1.7.1",
+			},
+			{
+				Version: "1.4.3",
+			},
+		})
+		assert.Equal(t, Version{
+			Version: "v1.7.1",
+		}, result)
+	})
+	t.Run("with suffix", func(t *testing.T) {
+		result := getLatestVersion([]Version{
+			{
+				Version: "1.5.3-experimental",
+			},
+			{
+				Version: "1.7.1-dev",
+			},
+			{
+				Version: "1.7.1",
+			},
+			{
+				Version: "1.4.3",
+			},
+		})
+		assert.Equal(t, Version{
+			Version: "1.7.1",
+		}, result)
+	})
+}