key insights
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Significant control over BKW by the state or government means the general public has more power to influence management and governance-related decisions
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The company's largest shareholder is in the canton of Bern, with a 53% stake.
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Financial institutions own 13% of BKW
A look at the shareholders of BKW AG (VTX:BKW) can tell us which group is the most powerful. It can be seen that the state or government owns the largest share in the company with his 53%. In other words, the group will receive the maximum benefit (or maximum loss) from its investment in the company.
States and governments were clearly the biggest beneficiaries after the company's market capitalization increased by CHF306 million last week.
Let's delve deeper into each type of owner for BKW, starting from the image below.
Check out our latest analysis for BKW.
What does institutional ownership tell us about BKW?
Many institutions measure performance based on indicators that approximate local markets. So they usually pay more attention to companies that are included in major indices.
We can see that BKW does have institutional investors. And they own a significant portion of the company's stock. This may indicate that the company has some credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They also sometimes make mistakes. 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 BKW, (below). Of course, keep in mind that there are other factors to consider as well.
BKW is not owned by hedge funds. Currently, the Canton of Bern is the largest shareholder with 53% of the outstanding shares. This means they hold a majority interest in the future of the company. Meanwhile, the second and third largest shareholders hold 10% and 2.8% of the shares outstanding, respectively.
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 plenty of analysts covering the stock, so it might be worth seeing what they are predicting.
Insider ownership in BKW
The definition of an insider may vary slightly from country to country, but members of the board of directors are always considered. The answers of company management to the board of directors and the latter must represent the interests of shareholders. In particular, top-level managers may serve on the board themselves.
Most consider insider ownership a positive, because it can indicate the board is well aligned with other shareholders. However, in some cases, too much power may be concentrated within this group.
Our data suggests that insiders own less than 1% of BKW AG shares in their own names. However, they may have an indirect stake through a corporate structure that we do not address. It is a large company, so we can expect insiders to own only a small percentage of its shares. But it's worth noting that they own CHF11m worth of shares. It's always good to see at least some degree of insider ownership, and it might be worth checking if those insiders have been selling.
Open to the public
The general public, including retail investors, owns 24% of the company's shares, so they can't be easily ignored. Although this size of ownership is significant, it may not be enough to change company policy if the decision is not aligned with other large shareholders.
Private company ownership
Our data shows that Private companies own 10%, of the company's shares. It's hard to draw any conclusions from this fact alone, so it's worth finding out who owns these private companies. Insiders and other parties may have an interest in the stock of a public company through another private company.
Next steps:
It's always worth thinking about the different groups who own shares in a company. However, to better understand BKW, many other factors need to be considered.
Many people find it convenient This is to find out more about how a company has performed in the past.You can access this Detailed graph Analysis of past earnings, revenue, and cash flow.
If you're like me, you might want to consider whether this company will grow or shrink. Luckily you can check this free report showing analyst forecasts for its future.
Note: The numbers in this article are calculated using data from the previous 12 months and refer to the 12-month period ending on the last day of the month in which the financial statements are dated. This may not match the 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 using only unbiased methodologies, and articles are not intended to be financial advice. This is not a recommendation to buy or sell any stock, and does not take into account your objectives or financial situation. We aim to provide long-term, focused analysis based on fundamental data. Note that our analysis may not factor in the latest announcements or qualitative material from price-sensitive companies. Simply Wall St has no position in any stocks mentioned.
