The main shareholders of Imerys SA (EPA:NK) are public companies held at 55%, with individual investors holding 23%

To get an idea of ​​who actually controls Imerys SA (EPA:NK), it is important to understand the ownership structure of the company. And the group that holds the biggest slice of the pie is made up of 55%-owned state-owned companies. In other words, the group is likely to gain the most (or lose the most) from its investment in the business.

Meanwhile, individual investors represent 23% of the company’s shareholders.

In the chart below, we zoom in on Imerys’ different ownership groups.

Discover our latest analysis for Imerys

ENXTPA: NK Property Breakdown April 29, 2022

What does institutional ownership tell us about Imerys?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it is included in a major index. We would expect most companies to have some institutions listed, especially if they are growing.

As you can see, institutional investors hold a significant share of Imerys. This implies that analysts working for these institutions have reviewed the stock and like it. But like everyone else, they can be wrong. It is not uncommon to see a sharp decline in the stock price if two large institutional investors attempt to sell a stock at the same time. It is therefore worth checking the trajectory of Imerys’ past earnings (below). Of course, keep in mind that there are other factors to consider as well.

earnings-and-revenue-growth
ENXTPA: NK Earnings and Revenue Growth April 29, 2022

We note that hedge funds have no significant investment in Imerys. Our data shows that Groupe Bruxelles Lambert SA is the main shareholder with 55% of the outstanding shares. This essentially means that they have considerable influence, if not absolute control, over the future of the company. Meanwhile, the second and third largest shareholders hold 5.1% and 1.7% of the outstanding shares respectively.

While studying the institutional ownership of a company can add value to your research, it is also recommended that you research analyst recommendations to better understand a stock’s expected performance. There are plenty of analysts covering the stock, so it might be interesting to see what they are predicting as well.

Insider ownership of Imerys

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. The management of the company runs the company, but the CEO will answer to the board of directors, even if he is a member of it.

Most view insider ownership as a positive because it can indicate that the board is well aligned with other shareholders. However, there are times when too much power is concentrated within this group.

We may report that insiders hold Imerys SA shares. This is a big company, so it’s good to see this level of alignment. Insiders hold 164 million euros worth of shares (at current prices). Most would say this shows the alignment of interests between shareholders and the board. Still, it might be worth checking to see if these insiders have sold.

General public property

The general public, generally individual investors, holds 23% of Imerys’ capital. This size of ownership, although considerable, may not be sufficient to change company policy if the decision is not in line with other major shareholders.

Ownership of a public company

Public companies currently hold 55% of Imerys’ capital. It’s hard to say for sure, but it suggests they have intertwined business interests. This could be a strategic stake, so it’s worth monitoring this space for ownership changes.

Next steps:

I find it very interesting to see who exactly owns a business. But to really get insight, we also need to consider other information. Example: we have identified 1 warning sign for Imerys you should be aware.

If you’re like me, you might want to ask yourself if this business will grow or shrink. Luckily, you can check out this free report showing analyst predictions for its future.

NB: The figures in this article are calculated using trailing twelve month data, which refers to the 12 month period ending on the last day of the month in which the financial statements are dated. This may not be consistent with the annual report figures for the full year.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.

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