Private companies who have a significant stake must be disappointed along with institutions after John Mattson Fastighetsföretagen AB (publ)'s (STO:JOMA) market cap dropped by kr246m

Key Insights

• Significant control over John Mattson Fastighetsföretagen by private companies implies that the general public has more power to influence management and governance-related decisions
• The top 2 shareholders own 51% of the company
• Institutional ownership in John Mattson Fastighetsföretagen is 24%

A look at the shareholders of John Mattson Fastighetsföretagen AB (publ) (STO:JOMA) can tell us which group is most powerful. The group holding the most number of shares in the company, around 55% to be precise, is private companies. Put another way, the group faces the maximum upside potential (or downside risk).

While institutions who own 24% came under pressure after market cap dropped to kr2.2b last week,private companies took the most losses.

Let's take a closer look to see what the different types of shareholders can tell us about John Mattson Fastighetsföretagen.

See our latest analysis for John Mattson Fastighetsföretagen

What Does The Institutional Ownership Tell Us About John Mattson Fastighetsföretagen?

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.

As you can see, institutional investors have a fair amount of stake in John Mattson Fastighetsföretagen. 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. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of John Mattson Fastighetsföretagen, (below). Of course, keep in mind that there are other factors to consider, too.

We note that hedge funds don't have a meaningful investment in John Mattson Fastighetsföretagen. Our data shows that Ab Borudan Ett is the largest shareholder with 38% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 13% and 8.5%, 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. There is some analyst coverage of the stock, but it could still become more well known, with time.

Insider Ownership Of John Mattson Fastighetsföretagen

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.

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 most recent data indicates that insiders own less than 1% of John Mattson Fastighetsföretagen AB (publ). However, it's possible that insiders might have an indirect interest through a more complex structure. It appears that the board holds about kr13m worth of stock. This compares to a market capitalization of kr2.2b. Many tend to prefer to see a board with bigger shareholdings. A good next step might be to take a look at this free summary of insider buying and selling.

General Public Ownership

The general public-- including retail investors -- own 20% stake in the company, and hence can't easily be ignored. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Private Company Ownership

We can see that Private Companies own 55%, of the shares on issue. 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:

It's always worth thinking about the different groups who own shares in a company. But to understand John Mattson Fastighetsföretagen better, we need to consider many other factors. To that end, you should be aware of the 1 warning sign we've spotted with John Mattson Fastighetsföretagen .

Ultimately the future is most important. You can access this free report on analyst forecasts for the company.

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.