Stock Analysis

Individual investors invested in NTG Nordic Transport Group A/S (CPH:NTG) up 8.5% last week, insiders too were rewarded

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CPSE:NTG
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Every investor in NTG Nordic Transport Group A/S (CPH:NTG) should be aware of the most powerful shareholder groups. We can see that individual investors 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.

Individual investors gained the most after market cap touched kr.5.5b last week, while insiders who own 28% also benefitted.

Let's delve deeper into each type of owner of NTG Nordic Transport Group, beginning with the chart below.

Check out our latest analysis for NTG Nordic Transport Group

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CPSE:NTG Ownership Breakdown December 8th 2022

What Does The Institutional Ownership Tell Us About NTG Nordic Transport 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 NTG Nordic Transport 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. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of NTG Nordic Transport Group, (below). Of course, keep in mind that there are other factors to consider, too.

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CPSE:NTG Earnings and Revenue Growth December 8th 2022

NTG Nordic Transport Group is not owned by hedge funds. Jorgen Hansen is currently the company's largest shareholder with 18% of shares outstanding. In comparison, the second and third largest shareholders hold about 10% and 5.2% of the stock.

After doing some more digging, we found that the top 22 have the combined ownership of 50% in the company, suggesting that no single shareholder has significant control over the company.

While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There is some analyst coverage of the stock, but it could still become more well known, with time.

Insider Ownership Of NTG Nordic Transport 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 information suggests that insiders maintain a significant holding in NTG Nordic Transport Group A/S. It has a market capitalization of just kr.5.5b, and insiders have kr.1.5b worth of shares in their own names. We would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.

General Public Ownership

With a 50% ownership, the general public, mostly comprising of individual investors, have some degree of sway over NTG Nordic Transport 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.

Private Company Ownership

It seems that Private Companies own 9.3%, of the NTG Nordic Transport Group stock. 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:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too.

I like to dive deeper into how a company has performed in the past. You can access this interactive graph of past earnings, revenue and cash flow, for free.

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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