How Much Of Minesto AB (publ) (STO:MINEST) Do Institutions Own?

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A look at the shareholders of Minesto AB (publ) (STO:MINEST) can tell us which group is most powerful. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. Companies that have been privatized tend to have low insider ownership.

Minesto is not a large company by global standards. It has a market capitalization of kr1.9b, which means it wouldn't have the attention of many institutional investors. Taking a look at our data on the ownership groups (below), it's seems that institutional investors have bought into the company. Let's take a closer look to see what the different types of shareholder can tell us about MINEST.

View our latest analysis for Minesto

OM:MINEST Ownership Summary, September 27th 2019
OM:MINEST Ownership Summary, September 27th 2019

What Does The Institutional Ownership Tell Us About Minesto?

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.

Minesto already has institutions on the share registry. Indeed, they own 6.5% of 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. 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 Minesto's historic earnings and revenue, below, but keep in mind there's always more to the story.

OM:MINEST Income Statement, September 27th 2019
OM:MINEST Income Statement, September 27th 2019

Minesto is not owned by hedge funds. Our information suggests that there isn't any analyst coverage of the stock, so it is probably little known.

Insider Ownership Of Minesto

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.

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 Minesto AB (publ). In their own names, insiders own kr22m worth of stock in the kr1.9b company. It is good to see some investment by insiders, but I usually like to see higher insider holdings. It might be worth checking if those insiders have been buying.