Qt Group Oyj's (HEL:QTCOM) 4.4% loss last week hit both individual investors who own 37% as well as institutions
Key Insights
- The considerable ownership by individual investors in Qt Group Oyj indicates that they collectively have a greater say in management and business strategy
- A total of 12 investors have a majority stake in the company with 50% ownership
- Insiders have been selling lately
To get a sense of who is truly in control of Qt Group Oyj (HEL:QTCOM), it is important to understand the ownership structure of the business. We can see that individual investors own the lion's share in the company with 37% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
Following a 4.4% decrease in the stock price last week, individual investors suffered the most losses, but institutions who own 34% stock also took a hit.
Let's delve deeper into each type of owner of Qt Group Oyj, beginning with the chart below.
Check out our latest analysis for Qt Group Oyj
What Does The Institutional Ownership Tell Us About Qt Group Oyj?
Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.
As you can see, institutional investors have a fair amount of stake in Qt Group Oyj. 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 Qt Group Oyj's earnings history below. Of course, the future is what really matters.
Qt Group Oyj is not owned by hedge funds. Ingman Group Oy Ab is currently the company's largest shareholder with 22% of shares outstanding. In comparison, the second and third largest shareholders hold about 6.0% and 4.2% of the stock. Additionally, the company's CEO Juha Varelius directly holds 1.6% of the total shares outstanding.
A closer look at our ownership figures suggests that the top 12 shareholders have a combined ownership of 50% implying that no single shareholder has a majority.
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 are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.
Insider Ownership Of Qt Group Oyj
The definition of an insider can differ slightly between different countries, but members of the board of directors always count. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.
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.
We can see that insiders own shares in Qt Group Oyj. The insiders have a meaningful stake worth €180m. Most would see this as a real positive. Most would say this shows alignment of interests between shareholders and the board. Still, it might be worth checking if those insiders have been selling.
General Public Ownership
With a 37% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Qt Group Oyj. 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
It seems that Private Companies own 22%, of the Qt Group Oyj stock. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.
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. Be aware that Qt Group Oyj is showing 2 warning signs 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 Qt Group Oyj might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
Access Free AnalysisHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
About HLSE:QTCOM
Qt Group Oyj
Offers cross-platform solutions for the software development lifecycle in Finland, Norway, Germany, the United States, Japan, China, South Korea, France, the United Kingdom, and India.
Outstanding track record with high growth potential.