Latest news with #G8EducationLimited
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
20-02-2025
- Business
- Yahoo
Is Now The Time To Look At Buying G8 Education Limited (ASX:GEM)?
G8 Education Limited (ASX:GEM), is not the largest company out there, but it received a lot of attention from a substantial price movement on the ASX over the last few months, increasing to AU$1.39 at one point, and dropping to the lows of AU$1.26. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether G8 Education's current trading price of AU$1.38 reflective of the actual value of the small-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let's take a look at G8 Education's outlook and value based on the most recent financial data to see if there are any catalysts for a price change. Check out our latest analysis for G8 Education The share price seems sensible at the moment according to our price multiple model, where we compare the company's price-to-earnings ratio to the industry average. In this instance, we've used the price-to-earnings (PE) ratio given that there is not enough information to reliably forecast the stock's cash flows. We find that G8 Education's ratio of 17.92x is trading slightly below its industry peers' ratio of 19.4x, which means if you buy G8 Education today, you'd be paying a decent price for it. And if you believe G8 Education should be trading in this range, then there isn't much room for the share price to grow beyond the levels of other industry peers over the long-term. Is there another opportunity to buy low in the future? Since G8 Education's share price is quite volatile, we could potentially see it sink lower (or rise higher) in the future, giving us another chance to buy. This is based on its high beta, which is a good indicator for how much the stock moves relative to the rest of the market. Future outlook is an important aspect when you're looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Buying a great company with a robust outlook at a cheap price is always a good investment, so let's also take a look at the company's future expectations. With profit expected to grow by 37% over the next couple of years, the future seems bright for G8 Education. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation. Are you a shareholder? GEM's optimistic future growth appears to have been factored into the current share price, with shares trading around industry price multiples. However, there are also other important factors which we haven't considered today, such as the financial strength of the company. Have these factors changed since the last time you looked at GEM? Will you have enough conviction to buy should the price fluctuate below the industry PE ratio? Are you a potential investor? If you've been keeping tabs on GEM, now may not be the most optimal time to buy, given it is trading around industry price multiples. However, the optimistic forecast is encouraging for GEM, which means it's worth diving deeper into other factors such as the strength of its balance sheet, in order to take advantage of the next price drop. So if you'd like to dive deeper into this stock, it's crucial to consider any risks it's facing. Case in point: We've spotted 1 warning sign for G8 Education you should be aware of. If you are no longer interested in G8 Education, you can use our free platform to see our list of over 50 other stocks with a high growth potential. 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. Sign in to access your portfolio
