Friedrich Vorwerk Group SE's (ETR:VH2) largest shareholders are public companies who were rewarded as market cap surged €134m last week

Key Insights

• The considerable ownership by public companies in Friedrich Vorwerk Group indicates that they collectively have a greater say in management and business strategy
• 50% of the company is held by a single shareholder (MBB SE)
• Insider ownership in Friedrich Vorwerk Group is 19%

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If you want to know who really controls Friedrich Vorwerk Group SE (ETR:VH2), then you'll have to look at the makeup of its share registry. We can see that public companies own the lion's share in the company with 50% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

As a result, public companies collectively scored the highest last week as the company hit €1.5b market cap following a 9.6% gain in the stock.

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

See our latest analysis for Friedrich Vorwerk Group

What Does The Institutional Ownership Tell Us About Friedrich Vorwerk Group?

Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.

We can see that Friedrich Vorwerk Group does have institutional investors; and they hold a good portion of the company's stock. 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 Friedrich Vorwerk Group's earnings history below. Of course, the future is what really matters.

Friedrich Vorwerk Group is not owned by hedge funds. The company's largest shareholder is MBB SE, with ownership of 50%. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. Torben Kleinfeldt is the second largest shareholder owning 19% of common stock, and JP Morgan Asset Management holds about 2.9% of the company stock. Torben Kleinfeldt, 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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Friedrich Vorwerk Group

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.

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 most recent data indicates that insiders own a reasonable proportion of Friedrich Vorwerk Group SE. It has a market capitalization of just €1.5b, and insiders have €285m worth of shares in their own names. That's quite significant. 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

The general public, who are usually individual investors, hold a 19% stake in Friedrich Vorwerk Group. 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.

Public Company Ownership

We can see that public companies hold 50% of the Friedrich Vorwerk Group shares on issue. This may be a strategic interest and the two companies may have related business interests. It could be that they have de-merged. This holding is probably worth investigating further.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important.

Many find it useful to take an in depth look at how a company has performed in the past. You can access this detailed graph of past earnings, revenue and cash flow.

Ultimately the future is most important. You can access this free report on analyst forecasts for the company.

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.