Key Insights
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The considerable ownership by retail investors in Kuros Biosciences indicates that they collectively have a greater say in management and business strategy
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A total of 16 investors have a majority stake in the company with 48% ownership
To get a sense of who is truly in control of Kuros Biosciences AG (VTX:KURN), it is important to understand the ownership structure of the business. The group holding the most number of shares in the company, around 52% to be precise, is retail investors. Put another way, the group faces the maximum upside potential (or downside risk).
Following a 13% increase in the stock price last week, retail investors profited the most, but insiders who own 24% stock also stood to gain from the increase.
Let’s take a closer look to see what the different types of shareholders can tell us about Kuros Biosciences.
See our latest analysis for Kuros Biosciences
What Does The Institutional Ownership Tell Us About Kuros Biosciences?
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.
Kuros Biosciences already has institutions on the share registry. Indeed, they own a respectable stake in the company. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. 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 Kuros Biosciences’ earnings history below. Of course, the future is what really matters.
Hedge funds don’t have many shares in Kuros Biosciences. C. Oomen is currently the largest shareholder, with 22% of shares outstanding. The second and third largest shareholders are Hatstone Fund Services Limited and Global Fund Advisors Limited, Asset Management Arm, with an equal amount of shares to their name at 4.7%.
Our studies suggest that the top 16 shareholders collectively control less than half of the company’s shares, meaning that the company’s shares are widely disseminated and there is no dominant shareholder.
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. Our information suggests that there isn’t any analyst coverage of the stock, so it is probably little known.
Insider Ownership Of Kuros Biosciences
The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. 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 information suggests that insiders maintain a significant holding in Kuros Biosciences AG. Insiders own CHF94m worth of shares in the CHF384m company. We would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.
General Public Ownership
The general public — including retail investors — own 52% of Kuros Biosciences. This size of ownership gives investors from the general public some collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.
Private Company Ownership
It seems that Private Companies own 8.7%, of the Kuros Biosciences stock. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.
Next Steps:
It’s always worth thinking about the different groups who own shares in a company. But to understand Kuros Biosciences better, we need to consider many other factors. Take risks for example – Kuros Biosciences has 2 warning signs we think you should be aware of.
Of course this may not be the best stock to buy. Therefore, you may wish to see our free collection of interesting prospects boasting favorable financials.
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.
