Latest news with #AustralianRetirementTrustPtyLtd
Yahoo
07-05-2025
- Business
- Yahoo
G8 Education Limited (ASX:GEM) is a favorite amongst institutional investors who own 70%
Key Insights Institutions' substantial holdings in G8 Education implies that they have significant influence over the company's share price A total of 5 investors have a majority stake in the company with 54% ownership Ownership research along with analyst forecasts data help provide a good understanding of opportunities in a stock This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. If you want to know who really controls G8 Education Limited (ASX:GEM), then you'll have to look at the makeup of its share registry. We can see that institutions own the lion's share in the company with 70% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company. Given the vast amount of money and research capacities at their disposal, institutional ownership tends to carry a lot of weight, especially with individual investors. Hence, having a considerable amount of institutional money invested in a company is often regarded as a desirable trait. Let's delve deeper into each type of owner of G8 Education, beginning with the chart below. Check out our latest analysis for G8 Education ASX:GEM Ownership Breakdown May 7th 2025 What Does The Institutional Ownership Tell Us About G8 Education? Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index. As you can see, institutional investors have a fair amount of stake in G8 Education. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of G8 Education, (below). Of course, keep in mind that there are other factors to consider, too. ASX:GEM Earnings and Revenue Growth May 7th 2025 Institutional investors own over 50% of the company, so together than can probably strongly influence board decisions. G8 Education is not owned by hedge funds. The company's largest shareholder is Australian Retirement Trust Pty Ltd, with ownership of 16%. For context, the second largest shareholder holds about 16% of the shares outstanding, followed by an ownership of 9.0% by the third-largest shareholder. On looking further, we found that 54% of the shares are owned by the top 5 shareholders. In other words, these shareholders have a meaningful say in the decisions of the company.
Yahoo
27-03-2025
- Business
- Yahoo
GrainCorp Limited (ASX:GNC) has caught the attention of institutional investors who hold a sizeable 41% stake
Significantly high institutional ownership implies GrainCorp's stock price is sensitive to their trading actions The top 9 shareholders own 50% of the company Insiders have bought recently To get a sense of who is truly in control of GrainCorp Limited (ASX:GNC), it is important to understand the ownership structure of the business. And the group that holds the biggest piece of the pie are institutions with 41% ownership. Put another way, the group faces the maximum upside potential (or downside risk). Since institutional have access to huge amounts of capital, their market moves tend to receive a lot of scrutiny by retail or individual investors. Hence, having a considerable amount of institutional money invested in a company is often regarded as a desirable trait. Let's delve deeper into each type of owner of GrainCorp, beginning with the chart below. See our latest analysis for GrainCorp Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index. GrainCorp already has institutions on the share registry. Indeed, they own a respectable stake in the company. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 GrainCorp's earnings history below. Of course, the future is what really matters. It looks like hedge funds own 5.0% of GrainCorp shares. That catches my attention because hedge funds sometimes try to influence management, or bring about changes that will create near term value for shareholders. Australian Retirement Trust Pty Ltd is currently the largest shareholder, with 7.1% of shares outstanding. For context, the second largest shareholder holds about 7.1% of the shares outstanding, followed by an ownership of 6.6% by the third-largest shareholder. We did some more digging and found that 9 of the top shareholders account for roughly 50% of the register, implying that along with larger shareholders, there are a few smaller shareholders, thereby balancing out each others interests somewhat. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future. While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it. Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group. Our data suggests that insiders own under 1% of GrainCorp Limited in their own names. It appears that the board holds about AU$14m worth of stock. This compares to a market capitalization of AU$1.5b. Many tend to prefer to see a board with bigger shareholdings. A good next step might be to take a look at this free summary of insider buying and selling. The general public, who are usually individual investors, hold a 41% stake in GrainCorp. 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. We can see that public companies hold 6.5% of the GrainCorp shares on issue. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership. 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. Take risks for example - GrainCorp has 2 warning signs (and 1 which makes us a bit uncomfortable) we think you should know about. Ultimately the future is most important. You can access this free report on analyst forecasts for the company. 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. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. 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