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If you want to know who really controls H&R GmbH & Co. KGaA (FRA:2HRA), then you'll have to look at the makeup of its share registry. Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. I quite like to see at least a little bit of insider ownership. As Charlie Munger said 'Show me the incentive and I will show you the outcome.'
H&R GmbH KGaA is a smaller company with a market capitalization of €224m, 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 2HRA.
View our latest analysis for H&R GmbH KGaA
What Does The Institutional Ownership Tell Us About H&R GmbH KGaA?
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 8.6% of H&R GmbH KGaA. 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see H&R GmbH KGaA's historic earnings and revenue, below, but keep in mind there's always more to the story.
Hedge funds don't have many shares in H&R GmbH KGaA. There is some analyst coverage of the stock, but it could still become more well known, with time.
Insider Ownership Of H&R GmbH KGaA
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.
We can see that insiders own shares in H&R GmbH & Co. KGaA. It has a market capitalization of just €224m, and insiders have €16m worth of shares, in their own names. Some would say this shows alignment of interests between shareholders and the board. But it might be worth checking if those insiders have been selling.