Do Directors Own Métropole Télévision SA (EPA:MMT) Shares?

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Every investor in Métropole Télévision SA (EPA:MMT) should be aware of the most powerful shareholder groups. Institutions often own shares in more established companies, while it’s not unusual to see insiders own a fair bit of smaller companies. We also tend to see lower insider ownership in companies that were previously publicly owned.

Métropole Télévision isn’t enormous, but it’s not particularly small either. It has a market capitalization of €2.3b, which means it would generally expect to see some institutions on the share registry. In the chart below below, we can see that institutions are noticeable on the share registry. We can zoom in on the different ownership groups, to learn more about MMT.

See our latest analysis for Métropole Télévision

ENXTPA:MMT Ownership Summary October 21st 18
ENXTPA:MMT Ownership Summary October 21st 18

What Does The Institutional Ownership Tell Us About Métropole Télévision?

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 own 18% of Métropole Télévision. 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 Métropole Télévision, (below). Of course, keep in mind that there are other factors to consider, too.

ENXTPA:MMT Income Statement Export October 21st 18
ENXTPA:MMT Income Statement Export October 21st 18

Hedge funds don’t have many shares in Métropole Télévision. 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 Métropole Télévision

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.

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 information suggests that Métropole Télévision SA insiders own under 1% of the company. However, it’s possible that insiders might have an indirect interest through a more complex structure. It’s a big company, so even a small proportional interest can create alignment between the board and shareholders. In this case insiders own €15m worth of shares. Arguably, recent buying and selling is just as important to consider. You can click here to see if insiders have been buying or selling.