Stock Analysis

What Type Of Shareholders Make Up Hellenic Telecommunications Organization S.A.'s (ATH:HTO) Share Registry?

ATSE:HTO
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The big shareholder groups in Hellenic Telecommunications Organization S.A. (ATH:HTO) have power over the company. Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. Companies that used to be publicly owned tend to have lower insider ownership.

Hellenic Telecommunications Organization is a pretty big company. It has a market capitalization of €6.1b. Normally institutions would own a significant portion of a company this size. In the chart below, we can see that institutions own shares in the company. We can zoom in on the different ownership groups, to learn more about Hellenic Telecommunications Organization.

Check out our latest analysis for Hellenic Telecommunications Organization

ownership-breakdown
ATSE:HTO Ownership Breakdown January 2nd 2021
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What Does The Institutional Ownership Tell Us About Hellenic Telecommunications Organization?

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 Hellenic Telecommunications Organization. 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 Hellenic Telecommunications Organization's earnings history below. Of course, the future is what really matters.

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ATSE:HTO Earnings and Revenue Growth January 2nd 2021

We note that hedge funds don't have a meaningful investment in Hellenic Telecommunications Organization. Looking at our data, we can see that the largest shareholder is Deutsche Telekom AG with 48% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 4.3% and 3.5%, of the shares outstanding, respectively.

To make our study more interesting, we found that the top 2 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of 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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Hellenic Telecommunications Organization

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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 data cannot confirm that board members are holding shares personally. Given we are not picking up on insider ownership, we may have missing data. Therefore, it would be interesting to assess the CEO compensation and tenure, here.

General Public Ownership

With a 28% ownership, the general public have some degree of sway over Hellenic Telecommunications Organization. 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 48% of the Hellenic Telecommunications Organization 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:

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. Consider risks, for instance. Every company has them, and we've spotted 3 warning signs for Hellenic Telecommunications Organization 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.

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