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華爾街日報Private companies who have a significant stake must be disappointed along with institutions after Odessos Shiprepair Yard S.A.'s (BUL:ODES) market cap dropped by лв86m
Key Insights
- The considerable ownership by private companies in Odessos Shiprepair Yard indicates that they collectively have a greater say in management and business strategy
- 57% of the business is held by the top 2 shareholders
- 25% of Odessos Shiprepair Yard is held by Institutions
A look at the shareholders of Odessos Shiprepair Yard S.A. (BUL:ODES) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are private companies with 50% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
Following a 49% decrease in the stock price last week, private companies suffered the most losses, but institutions who own 25% stock also took a hit.
In the chart below, we zoom in on the different ownership groups of Odessos Shiprepair Yard.
Check out our latest analysis for Odessos Shiprepair Yard
What Does The Institutional Ownership Tell Us About Odessos Shiprepair Yard?
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 Odessos Shiprepair Yard. 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Odessos Shiprepair Yard's historic earnings and revenue below, but keep in mind there's always more to the story.
Odessos Shiprepair Yard is not owned by hedge funds. The company's largest shareholder is KRZ Invest AD, with ownership of 50%. The second and third largest shareholders are Pension Insurance Company Saglasie AD and "CCB - Sila" Pension Fund JSC, with an equal amount of shares to their name at 7.0%.
To make our study more interesting, we found that the top 2 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of the company.
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. Our information suggests that there isn't any analyst coverage of the stock, so it is probably little known.
Insider Ownership Of Odessos Shiprepair Yard
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 most recent data indicates that insiders own less than 1% of Odessos Shiprepair Yard S.A.. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. It has a market capitalization of just лв176m, and the board has only лв393k worth of shares in their own names. 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.
General Public Ownership
The general public, who are usually individual investors, hold a 25% stake in Odessos Shiprepair Yard. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.
Private Company Ownership
We can see that Private Companies own 50%, of the shares on issue. 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 Odessos Shiprepair Yard better, we need to consider many other factors. For example, we've discovered 3 warning signs for Odessos Shiprepair Yard (2 can't be ignored!) that you should be aware of before investing here.
Of course this may not be the best stock to buy. So take a peek at this free free list of interesting companies.
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.