Pullup Entertainment Société anonyme's (EPA:ALPUL) stock price dropped 12% last week; individual investors would not be happy

Key Insights

• The considerable ownership by individual investors in Pullup Entertainment Société anonyme indicates that they collectively have a greater say in management and business strategy
• 49% of the business is held by the top 25 shareholders
• 15% of Pullup Entertainment Société anonyme is held by Institutions

Every investor in Pullup Entertainment Société anonyme (EPA:ALPUL) should be aware of the most powerful shareholder groups. With 51% stake, individual investors possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

As market cap fell to €115m last week, individual investors would have faced the highest losses than any other shareholder groups of the company.

Let's take a closer look to see what the different types of shareholders can tell us about Pullup Entertainment Société anonyme.

Check out our latest analysis for Pullup Entertainment Société anonyme

What Does The Institutional Ownership Tell Us About Pullup Entertainment Société anonyme?

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.

Pullup Entertainment Société anonyme already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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 Pullup Entertainment Société anonyme, (below). Of course, keep in mind that there are other factors to consider, too.

Pullup Entertainment Société anonyme is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is Neology Holding with 34% of shares outstanding. PEH Wertpapier AG is the second largest shareholder owning 5.3% of common stock, and Swedbank Robur Fonder AB holds about 2.4% of the company stock.

A deeper look at our ownership data shows that the top 25 shareholders collectively hold less than half of the register, suggesting a large group of small holders where no single shareholder has a majority.

Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of Pullup Entertainment Société anonyme

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

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 less than 1% of Pullup Entertainment Société anonyme. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. It seems the board members have no more than €191k worth of shares in the €115m company. We generally like to see a board more invested. However it might be worth checking if those insiders have been buying.

General Public Ownership

The general public, mostly comprising of individual investors, collectively holds 51% of Pullup Entertainment Société anonyme shares. This size of ownership gives investors from the general public some collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.

Private Company Ownership

Our data indicates that Private Companies hold 34%, of the company's shares. 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:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Be aware that Pullup Entertainment Société anonyme is showing 3 warning signs in our investment analysis , and 2 of those make us uncomfortable...

But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com