Stock Analysis

Private companies are Dottikon ES Holding AG's (VTX:DESN) biggest owners and were hit after market cap dropped CHF152m

Published
SWX:DESN

Key Insights

  • Significant control over Dottikon ES Holding by private companies implies that the general public has more power to influence management and governance-related decisions
  • The largest shareholder of the company is EVOLMA Holding AG with a 57% stake
  • Insider ownership in Dottikon ES Holding is 21%

A look at the shareholders of Dottikon ES Holding AG (VTX:DESN) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are private companies with 57% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

While the holdings of private companies took a hit after last week’s 4.3% price drop, insiders with their 21% also suffered.

Let's delve deeper into each type of owner of Dottikon ES Holding, beginning with the chart below.

View our latest analysis for Dottikon ES Holding

SWX:DESN Ownership Breakdown August 7th 2024

What Does The Institutional Ownership Tell Us About Dottikon ES Holding?

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.

As you can see, institutional investors have a fair amount of stake in Dottikon ES Holding. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Dottikon ES Holding's earnings history below. Of course, the future is what really matters.

SWX:DESN Earnings and Revenue Growth August 7th 2024

We note that hedge funds don't have a meaningful investment in Dottikon ES Holding. The company's largest shareholder is EVOLMA Holding AG, with ownership of 57%. This implies that they have majority interest control of the future of the company. Markus Blocher is the second largest shareholder owning 9.1% of common stock, and Peter Grogg holds about 7.0% of the company stock. Markus Blocher, who is the second-largest shareholder, also happens to hold the title of Chief Executive Officer.

While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. There is some analyst coverage of the stock, but it could still become more well known, with time.

Insider Ownership Of Dottikon ES Holding

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.

I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.

Our most recent data indicates that insiders own a reasonable proportion of Dottikon ES Holding AG. It is very interesting to see that insiders have a meaningful CHF713m stake in this CHF3.4b business. It is good to see this level of investment. You can check here to see if those insiders have been buying recently.

General Public Ownership

With a 16% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Dottikon ES Holding. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Private Company Ownership

Our data indicates that Private Companies hold 57%, of the company's shares. Private companies may be related parties. Sometimes insiders have an interest in a public company through a holding in a private company, rather than in their own capacity as an individual. While it's hard to draw any broad stroke conclusions, it is worth noting as an area for further research.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Dottikon ES Holding better, we need to consider many other factors.

I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.

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.

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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.