Stock Analysis

Insiders own 36% of Bucher Industries AG (VTX:BUCN) shares but individual investors control 42% of the company

SWX:BUCN
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Key Insights

  • Bucher Industries' significant individual investors ownership suggests that the key decisions are influenced by shareholders from the larger public
  • A total of 19 investors have a majority stake in the company with 50% ownership
  • Insiders own 36% of Bucher Industries

A look at the shareholders of Bucher Industries AG (VTX:BUCN) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are individual investors with 42% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

And individual insiders on the other hand have a 36% ownership in the company. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time.

Let's take a closer look to see what the different types of shareholders can tell us about Bucher Industries.

Check out our latest analysis for Bucher Industries

ownership-breakdown
SWX:BUCN Ownership Breakdown February 9th 2024

What Does The Institutional Ownership Tell Us About Bucher Industries?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

Bucher Industries already has institutions on the share registry. Indeed, they own a respectable stake in the company. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at Bucher Industries' earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
SWX:BUCN Earnings and Revenue Growth February 9th 2024

Bucher Industries is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is Rudolf Hauser with 25% of shares outstanding. In comparison, the second and third largest shareholders hold about 5.9% and 4.3% of the stock. Anita Hauser, who is the third-largest shareholder, also happens to hold the title of Vice Chairman.

A closer look at our ownership figures suggests that the top 19 shareholders have a combined ownership of 50% implying that no single shareholder has a majority.

Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of Bucher Industries

The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.

Our information suggests that insiders maintain a significant holding in Bucher Industries AG. It has a market capitalization of just CHF3.8b, and insiders have CHF1.4b worth of shares in their own names. That's quite significant. Most would say this shows a good degree of alignment with shareholders, especially in a company of this size. You can click here to see if those insiders have been buying or selling.

General Public Ownership

With a 42% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Bucher Industries. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Bucher Industries better, we need to consider many other factors. Be aware that Bucher Industries is showing 1 warning sign in our investment analysis , you should know about...

If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.

NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.

Valuation is complex, but we're here to simplify it.

Discover if Bucher Industries might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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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.