Stock Analysis

Annehem Fastigheter AB's (STO:ANNE B) largest shareholders are retail investors who were rewarded as market cap surged kr606m last week

OM:ANNE B
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Key Insights

  • Significant control over Annehem Fastigheter by retail investors implies that the general public has more power to influence management and governance-related decisions
  • 50% of the business is held by the top 25 shareholders
  • Insiders have bought recently

If you want to know who really controls Annehem Fastigheter AB (STO:ANNE B), then you'll have to look at the makeup of its share registry. We can see that retail investors own the lion's share in the company with 50% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

Clearly, retail investors benefitted the most after the company's market cap rose by kr606m last week.

In the chart below, we zoom in on the different ownership groups of Annehem Fastigheter.

View our latest analysis for Annehem Fastigheter

ownership-breakdown
OM:ANNE B Ownership Breakdown March 11th 2024

What Does The Institutional Ownership Tell Us About Annehem Fastigheter?

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.

Annehem Fastigheter 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. 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 Annehem Fastigheter's earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
OM:ANNE B Earnings and Revenue Growth March 11th 2024

Annehem Fastigheter is not owned by hedge funds. The company's largest shareholder is Ekhaga Utveckling AB, with ownership of 15%. Volito AB is the second largest shareholder owning 5.5% of common stock, and Axel Granlund holds about 5.4% of the company stock. Axel Granlund, who is the third-largest shareholder, also happens to hold the title of Member of the Board of Directors.

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.

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 is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of Annehem Fastigheter

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. 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.

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.

It seems insiders own a significant proportion of Annehem Fastigheter AB. Insiders have a kr165m stake in this kr1.5b business. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.

General Public Ownership

The general public, who are usually individual investors, hold a substantial 50% stake in Annehem Fastigheter, suggesting it is a fairly popular stock. 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 Equity Ownership

With an ownership of 5.5%, private equity firms are in a position to play a role in shaping corporate strategy with a focus on value creation. Sometimes we see private equity stick around for the long term, but generally speaking they have a shorter investment horizon and -- as the name suggests -- don't invest in public companies much. After some time they may look to sell and redeploy capital elsewhere.

Private Company Ownership

It seems that Private Companies own 19%, of the Annehem Fastigheter stock. 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. For example, we've discovered 2 warning signs for Annehem Fastigheter (1 is a bit unpleasant!) that you should be aware of before investing here.

If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.

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.