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Institutional investors own a significant stake of 44% in SGL Carbon SE (ETR:SGL)

In This Article:

Key Insights

  • Given the large stake in the stock by institutions, SGL Carbon's stock price might be vulnerable to their trading decisions

  • 54% of the business is held by the top 3 shareholders

  • Analyst forecasts along with ownership data serve to give a strong idea about prospects for a business

A look at the shareholders of SGL Carbon SE (ETR:SGL) can tell us which group is most powerful. With 44% stake, institutions possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Since institutional have access to huge amounts of capital, their market moves tend to receive a lot of scrutiny by retail or individual investors. As a result, a sizeable amount of institutional money invested in a firm is generally viewed as a positive attribute.

Let's delve deeper into each type of owner of SGL Carbon, beginning with the chart below.

Check out our latest analysis for SGL Carbon

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XTRA:SGL Ownership Breakdown May 21st 2024

What Does The Institutional Ownership Tell Us About SGL Carbon?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

SGL Carbon already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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 SGL Carbon's earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
XTRA:SGL Earnings and Revenue Growth May 21st 2024

SGL Carbon is not owned by hedge funds. The company's largest shareholder is SKion GmbH, with ownership of 28%. For context, the second largest shareholder holds about 18% of the shares outstanding, followed by an ownership of 7.4% by the third-largest shareholder.

After doing some more digging, we found that the top 3 shareholders collectively control more than half of the company's shares, implying that they have considerable power to influence the company's decisions.

Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of SGL Carbon

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.