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OPmobility SE's (EPA:OPM) largest shareholders are public companies who were rewarded as market cap surged €56m last week
Key Insights
- OPmobility's significant public companies ownership suggests that the key decisions are influenced by shareholders from the larger public
- 60% of the company is held by a single shareholder (Burelle SA)
- Institutions own 12% of OPmobility
To get a sense of who is truly in control of OPmobility SE (EPA:OPM), it is important to understand the ownership structure of the business. We can see that public companies own the lion's share in the company with 60% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
As a result, public companies collectively scored the highest last week as the company hit €1.6b market cap following a 3.6% gain in the stock.
In the chart below, we zoom in on the different ownership groups of OPmobility.
See our latest analysis for OPmobility
What Does The Institutional Ownership Tell Us About OPmobility?
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.
OPmobility already has institutions on the share registry. Indeed, they own a respectable stake in the company. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. 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 OPmobility's earnings history below. Of course, the future is what really matters.
We note that hedge funds don't have a meaningful investment in OPmobility. The company's largest shareholder is Burelle SA, with ownership of 60%. With such a huge stake in the ownership, we infer that they have significant control of the future of the company. Meanwhile, the second and third largest shareholders, hold 2.7% and 1.5%, of the shares outstanding, respectively.
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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.
Insider Ownership Of OPmobility
While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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.
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.
Shareholders would probably be interested to learn that insiders own shares in OPmobility SE. It is a pretty big company, so it is generally a positive to see some potentially meaningful alignment. In this case, they own around €19m worth of shares (at current prices). It is good to see this level of investment by insiders. You can check here to see if those insiders have been buying recently.
General Public Ownership
The general public-- including retail investors -- own 25% stake in the company, and hence can't easily be ignored. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Public Company Ownership
We can see that public companies hold 60% of the OPmobility shares on issue. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.
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. Case in point: We've spotted 2 warning signs for OPmobility you should be aware of.
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.
About ENXTPA:OPM
OPmobility
Engages in the manufacture and sale of exterior vehicle lighting systems, batteries, and electrification systems for electric mobility in Europe, North America, China, rest of Asia, South America, the Middle East, and Africa.
Average dividend payer and fair value.