Zespól Elektrocieplowni Wroclawskich KOGENERACJA S.A. (WSE:KGN) surges 15%; public companies who own 58% shares profited along with institutions

Key Insights

• Significant control over Zespól Elektrocieplowni Wroclawskich KOGENERACJA by public companies implies that the general public has more power to influence management and governance-related decisions
• 58% of the company is held by a single shareholder (PGE Polska Grupa Energetyczna S.A.)
• 24% of Zespól Elektrocieplowni Wroclawskich KOGENERACJA is held by Institutions

If you want to know who really controls Zespól Elektrocieplowni Wroclawskich KOGENERACJA S.A. (WSE:KGN), then you'll have to look at the makeup of its share registry. And the group that holds the biggest piece of the pie are public companies with 58% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

Following a 15% increase in the stock price last week, public companies profited the most, but institutions who own 24% stock also stood to gain from the increase.

Let's take a closer look to see what the different types of shareholders can tell us about Zespól Elektrocieplowni Wroclawskich KOGENERACJA.

Check out our latest analysis for Zespól Elektrocieplowni Wroclawskich KOGENERACJA

What Does The Institutional Ownership Tell Us About Zespól Elektrocieplowni Wroclawskich KOGENERACJA?

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.

We can see that Zespól Elektrocieplowni Wroclawskich KOGENERACJA does have institutional investors; and they hold a good portion of the company's stock. 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 Zespól Elektrocieplowni Wroclawskich KOGENERACJA's historic earnings and revenue below, but keep in mind there's always more to the story.

Hedge funds don't have many shares in Zespól Elektrocieplowni Wroclawskich KOGENERACJA. Our data shows that PGE Polska Grupa Energetyczna S.A. is the largest shareholder with 58% of shares outstanding. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. Meanwhile, the second and third largest shareholders, hold 8.0% and 5.1%, of the shares outstanding, respectively.

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. As far as we can tell there isn't analyst coverage of the company, so it is probably flying under the radar.

Insider Ownership Of Zespól Elektrocieplowni Wroclawskich KOGENERACJA

The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.

We note our data does not show any board members 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 18% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Zespól Elektrocieplowni Wroclawskich KOGENERACJA. 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

Public companies currently own 58% of Zespól Elektrocieplowni Wroclawskich KOGENERACJA stock. 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:

It's always worth thinking about the different groups who own shares in a company. But to understand Zespól Elektrocieplowni Wroclawskich KOGENERACJA better, we need to consider many other factors. Take risks for example - Zespól Elektrocieplowni Wroclawskich KOGENERACJA has 1 warning sign we think you should be aware of.

Of course this may not be the best stock to buy. Therefore, you may wish to see our free collection of interesting prospects boasting favorable financials.

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.

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.