Jyske Bank A/S (CPH:JYSK) share price fell 4.0% last week; individual investors would not be happy

Every investor in Jyske Bank A/S (CPH:JYSK) should know the most powerful shareholder groups. We can see that individual investors hold the lion’s share of the company with 57% ownership. That is, the group will benefit the most if the stock goes up (or lose the most if there is a downturn).

And last week, individual investors suffered the biggest losses as the stock fell 4.0%.

Let’s dive deeper into each Jyske Bank owner type, starting with the table below.

Check out our latest analysis for Jyske Bank

CPSE: distribution of ownership of JYSK on April 18, 2022

What does institutional ownership tell us about Jyske Bank?

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.

Jyske Bank already has institutions registered in the share register. Indeed, they hold a respectable stake in the company. This suggests some credibility with professional investors. But we cannot rely solely on this fact since institutions sometimes make bad investments, like everyone else. If multiple institutions change their minds on a stock at the same time, you could see the stock price drop quickly. So it is worth checking out Jyske Bank’s earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
CPSE: JYSK Earnings and Revenue Growth April 18, 2022

We note that hedge funds have no significant investment in Jyske Bank. Looking at our data, we can see that the largest shareholder is BRF Holding A/S with 28% of the outstanding shares. Massachusetts Financial Services Company is the second-largest shareholder with 3.8% of the common stock, and Dimensional Fund Advisors LP owns approximately 3.5% of the company’s stock.

Looking at our ownership data, we found that 25 of the major shareholders collectively own less than 50% of the share register, implying that no single individual holds a majority stake.

Institutional ownership research is a good way to assess and filter the expected performance of a stock. The same can be obtained by studying the feelings of the analyst. There are plenty of analysts covering the stock, so it might be interesting to see what they are predicting as well.

Jyske Bank Insider Ownership

The definition of company insiders can be subjective and varies from jurisdiction to jurisdiction. Our data reflects individual insiders, capturing at least board members. Management is ultimately responsible to the board of directors. However, it is not uncommon for managers to be members of the management board, especially if they are founders or CEOs.

Insider ownership is positive when it signals that executives think like the true owners of the company. However, strong insider ownership can also give immense power to a small group within the company. This can be negative in certain circumstances.

Our data suggests that insiders hold less than 1% of Jyske Bank A/S in their own name. We note, however, that insiders may have an indirect interest through a private company or other corporate structure. Keep in mind this is a big company and insiders hold 5.9 million kr worth of shares. The absolute value can be more important than the proportional share. It’s always good to see at least some insider ownership, but it might be worth checking to see if those insiders have sold.

General public property

The general public, including retail investors, owns 57% of Jyske Bank. This size of ownership gives mainstream investors a certain collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed corporate acquisitions.

Private Company Ownership

Private companies appear to hold 28% of Jyske Bank shares. It’s hard to draw conclusions from this fact alone, so it’s worth investigating who owns these private companies. Sometimes insiders or other related parties have an interest in shares of a public company through a separate private company.

Next steps:

I find it very interesting to see who exactly owns a company. But to really get insight, we also need to consider other information. Consider the risks, for example. Every business has them, and we’ve spotted 1 warning sign for Jyske Bank you should know.

But finally it’s the future, not the past, which will determine the performance of the owners of this company. Therefore, we think it’s advisable to take a look at this free report showing whether analysts are predicting a brighter future.

NB: The figures in this article are calculated using trailing twelve month data, which refers to the 12 month period ending on the last day of the month in which the financial statements are dated. This may not be consistent with the annual report figures for the full year.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.

Karen J. Nelson