How many Metsä Board Oyj (HEL: METSB) shares do institutions own?

The large shareholder groups of Metsä Board Oyj (HEL: METSB) have power over the company. Insiders often own a large portion of younger and smaller companies, while larger companies tend to have institutions as shareholders. We also tend to see a decrease in insider ownership in companies that were previously owned by the state.

Metsä Board Oyj has a market cap of 3.0 billion euros, so it’s too big to go unnoticed. We expect institutions and retail investors to own a portion of the company. In the graph below, we can see that the institutions hold shares in the company. Let’s take a closer look at what different types of shareholders can tell us about Metsä Board Oyj.

Check out our latest review for Metsä Board Oyj

HLSE: METSB Distribution of ownership September 26, 2021

What does institutional ownership tell us about Metsä Board Oyj?

Many institutions measure their performance against an index that approximates the local market. Thus, they generally pay more attention to companies that are included in the major indices.

Metsä Board Oyj already has institutions registered in the share register. Indeed, they hold a respectable stake in the company. This suggests some credibility among professional investors. But we cannot rely on this fact alone because institutions sometimes make bad investments, like everyone else. When several institutions hold a stock, there is always a risk that they are in a “crowded trade”. When such a transaction goes awry, several parties may compete with each other to sell stocks quickly. This risk is higher in a company without a history of growth. You can see Metsä Board Oyj’s historical income and earnings below, but keep in mind that there is always more to tell.

profit and revenue growth
HLSE: METSB Profits and Revenue Growth September 26, 2021

Metsä Board Oyj is not owned by hedge funds. Metsä Group is currently the largest shareholder in the company with 48% of the shares outstanding. Varma Mutual Pension Insurance Company, Asset Management Arm is the second largest shareholder holding 5.1% of the common stock, and Ilmarinen Pension Insurance Co. Ltd, Asset Management Arm owns approximately 2.8% of the company’s stock.

To make our study more interesting, we found that the 2 largest shareholders have a controlling stake in the company, which means that they are powerful enough to influence the decisions of the company.

While studying the institutional ownership of a company can add value to your research, it is also recommended that you research analyst recommendations to better understand the expected performance of a stock. There are a lot of analysts covering the stock, so you can look at expected growth quite easily.

Insider property of Metsä Board Oyj

The definition of an insider may differ slightly from country to country, but board members still count. The management of the company manages the company, but the CEO will report to the board of directors, even if he is a member of the board.

I generally consider insider ownership to be a good thing. However, there are times when it is more difficult for other shareholders to hold the board accountable for decisions.

Shareholders would likely be interested to learn that insiders hold shares in Metsä Board Oyj. Insiders have a significant stake worth 85 million euros. Most would see this as a real benefit. If you would like to explore the issue of Insider Alignment, you can click here to see if any Insiders have bought or sold.

General public property

The general public has a 26% stake in Metsä Board Oyj. While this property size may not be enough to influence a policy decision in their favor, they can still have a collective impact on company policies.

Owned by a private company

It appears that private companies own 48% of the shares of Metsä Board Oyj. It may be worth pursuing the question further. If related parties, such as insiders, have an interest in any of these private companies, this should be disclosed in the annual report. Private companies may also have a strategic interest in the business.

Next steps:

I find it very interesting to see who exactly owns a company. But to really get an overview, we have to take other information into account as well. Note that Metsä Board Oyj shows 2 warning signs in our investment analysis , and 1 of them should not be ignored …

But finally it’s the future, not the past, which will determine the success of the owners of this business. Therefore, we believe it is advisable to take a look at this free report showing whether analysts are predicting a better future.

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

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