How Much Of easyCALL.pl S.A. (WSE:ECL) Do Insiders Own?

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If you want to know who really controls easyCALL.pl S.A. (WSE:ECL), then you'll have to look at the makeup of its share registry. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. I quite like to see at least a little bit of insider ownership. As Charlie Munger said 'Show me the incentive and I will show you the outcome.'

easyCALL.pl is not a large company by global standards. It has a market capitalization of zł1.6m, which means it wouldn't have the attention of many institutional investors. Our analysis of the ownership of the company, below, shows that institutions are not on the share registry. Let's delve deeper into each type of owner, to discover more about ECL.

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View our latest analysis for easyCALL.pl

WSE:ECL Ownership Summary, May 27th 2019
WSE:ECL Ownership Summary, May 27th 2019

What Does The Lack Of Institutional Ownership Tell Us About easyCALL.pl?

Institutional investors often avoid companies that are too small, too illiquid or too risky for their tastes. But it's unusual to see larger companies without any institutional investors.

There are multiple explanations for why institutions don't own a stock. The most common is that the company is too small relative to fund under management, so the institition does not bother to look closely at the company. Alternatively, there might be something about the company that has kept institutional investors away. easyCALL.pl's earnings and revenue track record (below) may not be compelling to institutional investors -- or they simply might not have looked at the business closely.

WSE:ECL Income Statement, May 27th 2019
WSE:ECL Income Statement, May 27th 2019

We note that hedge funds don't have a meaningful investment in easyCALL.pl. As far I can tell there isn't analyst coverage of the company, so it is probably flying under the radar.

Insider Ownership Of easyCALL.pl

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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 most recent data indicates that insiders own the majority of easyCALL.pl S.A.. This means they can collectively make decisions for the company. So they have a zł1.3m stake in this zł1.6m business. Most would be pleased to see the board is investing alongside them. You may wish todiscover (for free) if they have been buying or selling.

General Public Ownership

The general public holds a 18% stake in ECL. 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.

Next Steps:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too.

I like to dive deeper into how a company has performed in the past. You can access this interactive graph of past earnings, revenue and cash flow for free .

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.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.

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