Do Directors Own Deutsche Konsum REIT-AG (FRA:DKG) Shares?

In This Article:

Every investor in Deutsche Konsum REIT-AG (FRA:DKG) should be aware of the most powerful shareholder groups. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. We also tend to see lower insider ownership in companies that were previously publicly owned.

Deutsche Konsum REIT-AG is a smaller company with a market capitalization of €460m, so it may still be flying under the radar of many institutional investors. In the chart below below, we can see that institutions are noticeable on the share registry. Let's delve deeper into each type of owner, to discover more about DKG.

Check out our latest analysis for Deutsche Konsum REIT-AG

DB:DKG Ownership Summary, August 3rd 2019
DB:DKG Ownership Summary, August 3rd 2019

What Does The Institutional Ownership Tell Us About Deutsche Konsum REIT-AG?

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.

We can see that Deutsche Konsum REIT-AG does have institutional investors; and they hold 40% of the stock. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. 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 Deutsche Konsum REIT-AG's earnings history, below. Of course, the future is what really matters.

DB:DKG Income Statement, August 3rd 2019
DB:DKG Income Statement, August 3rd 2019

Deutsche Konsum REIT-AG is not owned by hedge funds. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of Deutsche Konsum REIT-AG

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. The company management answer to the board; and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board, themselves.

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 information suggests that Deutsche Konsum REIT-AG insiders own under 1% of the company. However, it's possible that insiders might have an indirect interest through a more complex structure. It appears that the board holds about €3.3m worth of stock. This compares to a market capitalization of €460m. Many investors in smaller companies prefer to see the board more heavily invested. You can click here to see if those insiders have been buying or selling.