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Insiders are the top stockholders in CompuGroup Medical SE & Co. KGaA (ETR:COP), and the recent 32% drop might have disappointed them

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Key Insights

If you want to know who really controls CompuGroup Medical SE & Co. KGaA (ETR:COP), then you'll have to look at the makeup of its share registry. With 52% stake, individual insiders possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

And last week, insiders endured the biggest losses as the stock fell by 32%.

In the chart below, we zoom in on the different ownership groups of CompuGroup Medical SE KGaA.

View our latest analysis for CompuGroup Medical SE KGaA

ownership-breakdown
XTRA:COP Ownership Breakdown July 12th 2024

What Does The Institutional Ownership Tell Us About CompuGroup Medical SE KGaA?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

We can see that CompuGroup Medical SE KGaA does have institutional investors; and they hold a good portion of the company's 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. 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 CompuGroup Medical SE KGaA's historic earnings and revenue below, but keep in mind there's always more to the story.

earnings-and-revenue-growth
XTRA:COP Earnings and Revenue Growth July 12th 2024

We note that hedge funds don't have a meaningful investment in CompuGroup Medical SE KGaA. The company's largest shareholder is Frank Gotthardt, with ownership of 34%. With 6.9% and 6.5% of the shares outstanding respectively, Daniel Gotthardt and Brigitte Gotthardt are the second and third largest shareholders.

To make our study more interesting, we found that the top 4 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.

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 plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.