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The recent 146% gain must have brightened Chairman of Management Board Sebastian Wojciechowski's week, PCF Group Spólka Akcyjna's (WSE:PCF) most bullish insider
Key Insights
- Significant insider control over PCF Group Spólka Akcyjna implies vested interests in company growth
- The top 2 shareholders own 52% of the company
- 12% of PCF Group Spólka Akcyjna is held by Institutions
If you want to know who really controls PCF Group Spólka Akcyjna (WSE:PCF), then you'll have to look at the makeup of its share registry. The group holding the most number of shares in the company, around 59% to be precise, is individual insiders. 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, insiders scored the highest last week as the company hit zł697m market cap following a 146% gain in the stock.
Let's take a closer look to see what the different types of shareholders can tell us about PCF Group Spólka Akcyjna.
Check out our latest analysis for PCF Group Spólka Akcyjna
What Does The Institutional Ownership Tell Us About PCF Group Spólka Akcyjna?
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.
PCF Group Spólka Akcyjna 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see PCF Group Spólka Akcyjna's historic earnings and revenue below, but keep in mind there's always more to the story.
We note that hedge funds don't have a meaningful investment in PCF Group Spólka Akcyjna. Because actions speak louder than words, we consider it a good sign when insiders own a significant stake in a company. In PCF Group Spólka Akcyjna's case, its Chairman of Management Board, Sebastian Wojciechowski, is the largest shareholder, holding 42% of shares outstanding. In comparison, the second and third largest shareholders hold about 10.0% and 7.2% of the stock.
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 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 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 PCF Group Spólka Akcyjna
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.
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 information suggests that insiders own more than half of PCF Group Spólka Akcyjna. This gives them effective control of the company. So they have a zł411m stake in this zł697m business. Most would argue this is a positive, showing strong alignment with shareholders. You can click here to see if those insiders have been buying or selling.
General Public Ownership
The general public-- including retail investors -- own 19% stake in the company, and hence can't easily be ignored. 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
It appears to us that public companies own 10% of PCF Group Spólka Akcyjna. 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 1 warning sign for PCF Group Spólka Akcyjna you should be aware of.
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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Have 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 WSE:PCF
PCF Group Spólka Akcyjna
Engages in the development and production of video games in Poland and internationally.
High growth potential with mediocre balance sheet.