In This Article:
Key Insights
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The considerable ownership by retail investors in Flow Traders indicates that they collectively have a greater say in management and business strategy
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The top 8 shareholders own 50% of the company
A look at the shareholders of Flow Traders Ltd. (AMS:FLOW) can tell us which group is most powerful. We can see that retail investors own the lion's share in the company with 44% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
And institutions on the other hand have a 28% ownership in the company. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time.
Let's delve deeper into each type of owner of Flow Traders, beginning with the chart below.
See our latest analysis for Flow Traders
What Does The Institutional Ownership Tell Us About Flow Traders?
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 have a fair amount of stake in Flow Traders. 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 Flow Traders' earnings history below. Of course, the future is what really matters.
Hedge funds don't have many shares in Flow Traders. JPMorgan Chase & Co, Brokerage and Securities Investments is currently the company's largest shareholder with 13% of shares outstanding. With 13% and 11% of the shares outstanding respectively, Jan T. A. van Kuijk and Roger H. Hodenius are the second and third largest shareholders.
We did some more digging and found that 8 of the top shareholders account for roughly 50% of the register, implying that along with larger shareholders, there are a few smaller shareholders, thereby balancing out each others interests somewhat.
While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. 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 Flow Traders
The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. 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.