Market cap

Institutions benefited after the market capitalization of Partners Group Holding AG (VTX: PGHN) rose by 3.8 billion francs last week, but it was individual investors who benefited the most

To get an idea of ​​who actually controls Partners Group Holding AG (VTX: PGHN), it is important to understand the ownership structure of the company. We can see that individual investors hold the lion’s share of the company with 49% ownership. That is, the group will benefit the most if the stock goes up (or lose the most if there is a downturn).

While individual investors were the group that reaped the most benefit after last week’s 16% price gain, institutions also received a 34% cut.

Let’s dive deeper into each type of owner in Partners Group Holding, starting with the table below.

Our analysis indicates that The PGHN is potentially undervalued!

SWX: Breakdown of PGHN shareholding November 14, 2022

What does institutional ownership tell us about Partners Group Holding?

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

Partners Group Holding already has establishments registered in the share register. Indeed, they hold a respectable stake in the company. This implies that analysts working for these institutions have reviewed the stock and like it. But like everyone else, they can be wrong. When multiple institutions hold a stock, there is always a risk that they are in a “crowded trade”. When such a transaction goes wrong, multiple parties may compete to quickly sell shares. This risk is higher in a company with no history of growth. You can see Partners Group Holding’s historic earnings and revenue below, but keep in mind there’s always more to tell.

earnings-and-revenue-growth
SWX: PGHN Earnings and Revenue Growth November 14, 2022

Hedge funds don’t have a lot of shares in Partners Group Holding. Looking at our data, we can see that the largest shareholder is BlackRock, Inc. with 5.1% of shares outstanding. The second and third largest shareholders are Alfred Gantner and Marcel Erni, with an equal number of shares to their names at 5.1%. Two of the three main shareholders are respectively Top Key Executive and member of the Board of Directors. In other words, insiders appear higher in the hierarchy of the main shareholders of the company.

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.

While it makes sense to study data on a company’s institutional ownership, it also makes sense to study analyst sentiment to find out which way the wind is blowing. There are plenty of analysts covering the stock, so it might be interesting to see what they are predicting as well.

Insider ownership of Partners Group Holding

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. The management of the company runs the company, but the CEO will answer to the board of directors, even if he is a member of it.

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 information suggests that insiders hold a significant stake in Partners Group Holding AG. It has a market capitalization of just 27 billion Swiss francs and insiders hold 4.6 billion Swiss francs worth of shares in their own name. It is quite significant. Good to see this level of investment. You can check here if these insiders have bought recently.

General public property

The general public, including retail investors, owns 49% of the company’s capital and therefore cannot be easily ignored. Although this group may not necessarily make the decisions, they can certainly have a real influence on the way the business is run.

Next steps:

I find it very interesting to see who exactly owns a business. But to really get insight, we also need to consider other information. Take for example the ubiquitous specter of investment risk. We have identified 1 warning sign with Partners Group Holding, and understanding them should be part of your investment process.

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 the financial statements are dated. This may not be consistent with the annual report figures for the full year.

Valuation is complex, but we help make it simple.

Find out if Holding Partners Group is potentially overvalued or undervalued by viewing our full analysis, which includes fair value estimates, risks and warnings, dividends, insider trading and financial health.

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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.