Sartorius Stedim Biotech S.A.'s (EPA:DIM) top owners are public companies with 71% stake, while 16% is held by individual investors

Key Insights

• Sartorius Stedim Biotech's significant public companies ownership suggests that the key decisions are influenced by shareholders from the larger public
• 71% of the company is held by a single shareholder (Sartorius Aktiengesellschaft)
• Institutional ownership in Sartorius Stedim Biotech is 13%

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A look at the shareholders of Sartorius Stedim Biotech S.A. (EPA:DIM) can tell us which group is most powerful. With 71% stake, public companies possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

And individual investors on the other hand have a 16% ownership in the company.

Let's delve deeper into each type of owner of Sartorius Stedim Biotech, beginning with the chart below.

Check out our latest analysis for Sartorius Stedim Biotech

What Does The Institutional Ownership Tell Us About Sartorius Stedim Biotech?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

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

Hedge funds don't have many shares in Sartorius Stedim Biotech. Sartorius Aktiengesellschaft is currently the company's largest shareholder with 71% of shares outstanding. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. Meanwhile, the second and third largest shareholders, hold 1.3% and 1.2%, of the shares outstanding, respectively.

While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. 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 Sartorius Stedim Biotech

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

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.

Our data suggests that insiders own under 1% of Sartorius Stedim Biotech S.A. in their own names. It is a very large company, so it would be surprising to see insiders own a large proportion of the company. Though their holding amounts to less than 1%, we can see that board members collectively own €6.4k worth of shares (at current prices). In this sort of situation, it can be more interesting to see if those insiders have been buying or selling.

General Public Ownership

With a 16% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Sartorius Stedim Biotech. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.

Public Company Ownership

It appears to us that public companies own 71% of Sartorius Stedim Biotech. This may be a strategic interest and the two companies may have related business interests. It could be that they have de-merged. This holding is probably worth investigating further.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Sartorius Stedim Biotech better, we need to consider many other factors. To that end, you should be aware of the 1 warning sign we've spotted with Sartorius Stedim Biotech .

But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter future.

NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.