Stock Analysis

What Kind Of Investors Own Most Of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság (BUSE:MTELEKOM)?

BUSE:MTELEKOM
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Every investor in Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság (BUSE:MTELEKOM) should be aware of the most powerful shareholder groups. Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. We also tend to see lower insider ownership in companies that were previously publicly owned.

Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has a market capitalization of Ft386b, so we would expect some institutional investors to have noticed the stock. Our analysis of the ownership of the company, below, shows that institutions are noticeable on the share registry. We can zoom in on the different ownership groups, to learn more about Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság.

See our latest analysis for Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság

ownership-breakdown
BUSE:MTELEKOM Ownership Breakdown November 24th 2020

What Does The Institutional Ownership Tell Us About Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

As you can see, institutional investors have a fair amount of stake in Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság. 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 Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
BUSE:MTELEKOM Earnings and Revenue Growth November 24th 2020

Hedge funds don't have many shares in Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság. Deutsche Telekom AG is currently the largest shareholder, with 60% of shares outstanding. This implies that they have majority interest control of the future of the company. Meanwhile, the second and third largest shareholders, hold 1.2% and 0.8%, of the shares outstanding, respectively.

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 Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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 data cannot confirm that board members are holding shares personally. It is unusual not to have at least some personal holdings by board members, so our data might be flawed. A good next step would be to check how much the CEO is paid.

General Public Ownership

The general public holds a 31% stake in Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság. 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

Public companies currently own 60% of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság stock. 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:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Consider risks, for instance. Every company has them, and we've spotted 2 warning signs for Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság 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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This article by Simply Wall St is general in nature. 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.
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