To get a sense of who is truly in control of HomeToGo SE (FRA:HTG), it is important to understand the ownership structure of the business. And the group that holds the biggest piece of the pie are private equity firms with 41% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Individual investors, on the other hand, account for 34% of the company's stockholders.

In the chart below, we zoom in on the different ownership groups of HomeToGo.

Check out our latest analysis for HomeToGo

What Does The Institutional Ownership Tell Us About HomeToGo?

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.

We can see that HomeToGo does have institutional investors; and they hold a good portion of the company's stock. 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. 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 HomeToGo's earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in HomeToGo. Looking at our data, we can see that the largest shareholder is Insight Venture Management, LLC with 16% of shares outstanding. With 11% and 8.9% of the shares outstanding respectively, Klaus Hommels and DN Capital (UK) LLP are the second and third largest shareholders.

On looking further, we found that 52% of the shares are owned by the top 5 shareholders. In other words, these shareholders have a meaningful say in the decisions of the company.

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 a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of HomeToGo

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.

Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.