Major shareholders of Logitech International SA (VTX:LOGN) are individual investors with 52% ownership, institutions with 47%
To get an idea of who really controls Logitech International SA (VTX: CONNECTION), it is important to understand the ownership structure of the business. And the group that holds the biggest slice of the pie are individual investors with 52% ownership. That is, the group will benefit the most if the stock goes up (or lose the most if there is a downturn).
Meanwhile, institutions represent 47% of the company’s shareholders. Big companies usually have institutions as shareholders, and we usually see insiders owning shares in small companies.
Let’s take a closer look at what different types of shareholders can tell us about Logitech International.
What does institutional ownership tell us about Logitech International?
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.
Logitech International already has institutions on 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’s worth checking out Logitech International’s earnings history below. Of course, the future is what really matters.
Logitech International is not owned by hedge funds. Capital Research and Management Company is currently the company’s largest shareholder with 3.4% of the shares outstanding. The second and third largest shareholders are UBS Asset Management and The Vanguard Group, Inc., with an equal number of shares to their name at 3.2%. Additionally, the company’s CEO, Bracken Darrell, directly owns 0.6% of the total shares outstanding.
A closer look at our ownership data shows that the top 25 shareholders collectively own less than half of the register, suggesting a large group of small shareholders where no single shareholder has a majority.
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 a stock’s expected performance. A number of analysts cover the stock, so you can look at growth forecasts quite easily.
Logitech International Insider Property
The definition of an insider may differ slightly from country to country, but board members still matter. The management of the company answers to the board of directors and the latter must represent the interests of the shareholders. In particular, sometimes the senior executives themselves sit on the board of directors.
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 of Logitech International SA own less than 1% of the company. Being so large, we wouldn’t expect insiders to own a large portion of the shares. Together, they hold 60 million francs worth of shares. Arguably, recent purchases and sales are equally important to consider. You can click here to see if insiders have bought or sold.
General public property
The general public, comprised primarily of individual investors, collectively owns 52% of Logitech International’s stock. 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.
It is always useful to think about the different groups that own shares in a company. But to better understand Logitech International, we need to consider many other factors. Be aware that Logitech International Presents 1 warning sign in our investment analysis you should know…
If you prefer to find out what analysts are predicting in terms of future growth, don’t miss this free analyst forecast report.
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.
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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.
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