Stock Analysis

Painful week for retail investors invested in Samhällsbyggnadsbolaget i Norden AB (publ) (STO:SBB B) after 5.7% drop, institutions also suffered losses

Published
OM:SBB B

Key Insights

  • The considerable ownership by retail investors in Samhällsbyggnadsbolaget i Norden indicates that they collectively have a greater say in management and business strategy
  • 51% of the business is held by the top 15 shareholders
  • Insiders have been selling lately

A look at the shareholders of Samhällsbyggnadsbolaget i Norden AB (publ) (STO:SBB B) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are retail investors with 46% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

While the holdings of retail investors took a hit after last week’s 5.7% price drop, institutions with their 31% holdings also suffered.

Let's take a closer look to see what the different types of shareholders can tell us about Samhällsbyggnadsbolaget i Norden.

Check out our latest analysis for Samhällsbyggnadsbolaget i Norden

OM:SBB B Ownership Breakdown October 27th 2024

What Does The Institutional Ownership Tell Us About Samhällsbyggnadsbolaget i Norden?

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 Samhällsbyggnadsbolaget i Norden 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. 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 Samhällsbyggnadsbolaget i Norden's earnings history below. Of course, the future is what really matters.

OM:SBB B Earnings and Revenue Growth October 27th 2024

Hedge funds don't have many shares in Samhällsbyggnadsbolaget i Norden. Ilija Batljan Invest AB (publ) is currently the company's largest shareholder with 10% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 4.6% and 4.2%, of the shares outstanding, respectively. Ilija Batljan, who is the second-largest shareholder, also happens to hold the title of Top Key Executive.

A closer look at our ownership figures suggests that the top 15 shareholders have a combined ownership of 51% implying that no single shareholder has a majority.

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. There is some analyst coverage of the stock, but it could still become more well known, with time.

Insider Ownership Of Samhällsbyggnadsbolaget i Norden

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.

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.

Our most recent data indicates that insiders own some shares in Samhällsbyggnadsbolaget i Norden AB (publ). As individuals, the insiders collectively own kr899m worth of the kr9.9b company. It is good to see some investment by insiders, but it might be worth checking if those insiders have been buying.

General Public Ownership

With a 46% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Samhällsbyggnadsbolaget i Norden. 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.

Private Company Ownership

Our data indicates that Private Companies hold 14%, of the company's shares. 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:

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. Like risks, for instance. Every company has them, and we've spotted 4 warning signs for Samhällsbyggnadsbolaget i Norden (of which 2 are a bit unpleasant!) 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. 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.