In This Article:
Key Insights
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Koninklijke BAM Groep's significant individual investors ownership suggests that the key decisions are influenced by shareholders from the larger public
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The top 25 shareholders own 38% of the company
Every investor in Koninklijke BAM Groep nv (AMS:BAMNB) should be aware of the most powerful shareholder groups. And the group that holds the biggest piece of the pie are individual investors with 60% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
And institutions on the other hand have a 40% 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 Koninklijke BAM Groep, beginning with the chart below.
Check out our latest analysis for Koninklijke BAM Groep
What Does The Institutional Ownership Tell Us About Koninklijke BAM Groep?
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 Koninklijke BAM Groep. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Koninklijke BAM Groep's historic earnings and revenue below, but keep in mind there's always more to the story.
We note that hedge funds don't have a meaningful investment in Koninklijke BAM Groep. The company's largest shareholder is Dimensional Fund Advisors LP, with ownership of 4.9%. With 3.9% and 3.5% of the shares outstanding respectively, The Vanguard Group, Inc. and JP Morgan Asset Management are the second and third largest shareholders.
On studying our ownership data, we found that 25 of the top shareholders collectively own less than 50% of the share register, implying that no single individual has a majority interest.
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 is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.