Advertisement
UK markets closed
  • NIKKEI 225

    38,460.08
    +907.92 (+2.42%)
     
  • HANG SENG

    17,201.27
    +372.34 (+2.21%)
     
  • CRUDE OIL

    82.78
    -0.58 (-0.70%)
     
  • GOLD FUTURES

    2,338.40
    -3.70 (-0.16%)
     
  • DOW

    38,347.36
    -156.33 (-0.41%)
     
  • Bitcoin GBP

    51,898.88
    -1,686.62 (-3.15%)
     
  • CMC Crypto 200

    1,398.02
    -26.08 (-1.83%)
     
  • NASDAQ Composite

    15,644.32
    -52.32 (-0.33%)
     
  • UK FTSE All Share

    4,374.06
    -4.69 (-0.11%)
     

Who Are Bell Food Group AG’s (VTX:BELL) Major Shareholders?

In this analysis, my focus will be on developing a perspective on Bell Food Group AG’s (VTX:BELL) latest ownership structure, a less discussed, but important factor. Ownership structure of a company has been found to affect share performance over time. Different types of investors can have varying degrees of influence on a company’s management team. For example, an active institutional investor may be more likely to hold a company accountable for certain actions whereas a passive fund will move in and out of stocks without regards to corporate governance. The implications of these institutions’ actions can either benefit or hinder individual investors, so it is important to understand the ownership composition of your stock investment. Therefore, it is beneficial for us to examine BELL’s ownership structure in more detail.

View our latest analysis for Bell Food Group

SWX:BELL Ownership Summary September 7th 18
SWX:BELL Ownership Summary September 7th 18

Institutional Ownership

Institutional investors are one of the largest group of market participants and their buy-sell decisions on a company’s stock can significantly impact prices, more so, when there are relatively small amounts of shares available on the market to trade. With an institutional ownership of 6.6%, BELL doesn’t seem too exposed to higher volatility resulting from institutional trading. With 4 analysts covering BELL, it doesn’t seem to be a company that would fly under the institutions’ radar. Perhaps these skilled market participants are simply not interested in the business.

Insider Ownership

An important group of shareholders are company insiders. Insider ownership has to do more with how the company is managed and less to do with the direct impact of the magnitude of shares trading on the market. BELL insiders hold a minor stake in the company, which somewhat aligns their interests with that of shareholders. However, a higher level of insider ownership has been linked to management executing on high-returning projects instead of expansion projects for the sake of apparent growth. I will also like to check what insiders have been doing recently with their holdings. Insider buying may be a sign of upbeat future expectations, however, selling doesn’t necessarily mean the opposite as insiders may be motivated by their personal financial needs.

General Public Ownership

A substantial ownership of 51.1% in BELL is held by the general public. This size of ownership gives retail investors collective power in deciding on major policy decisions such as executive compensation, appointment of directors and acquisitions of businesses.

Private Company Ownership

Another group of owners that a potential investor in BELL should consider are private companies, with a stake of 42.2%. While they invest more often due to strategic interests, an investment can also be driven by capital gains through share price appreciation. With this size of ownership in BELL, this ownership class can affect the company’s business strategy. As a result, potential investors should further explore the company’s business relations with these companies and find out if they can affect shareholder returns in the long-term.

Next Steps:

With a low level of institutional ownership, investors in BELL need not worry about non-fundamental factors such as ownership structure causing large impact on stock prices. However, ownership structure should not be the only determining factor when you’re building an investment thesis for BELL. Instead, you should be evaluating company-specific factors such as the intrinsic valuation, which is a key driver of Bell Food Group’s share price. I highly recommend you to complete your research by taking a look at the following:

ADVERTISEMENT
  1. Future Outlook: What are well-informed industry analysts predicting for BELL’s future growth? Take a look at our free research report of analyst consensus for BELL’s outlook.

  2. Past Track Record: Has BELL been consistently performing well irrespective of the ups and downs in the market? Go into more detail in the past performance analysis and take a look at the free visual representations of BELL’s historicals for more clarity.

  3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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.

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.