Which type of shareholder owns the most shares of Aurelia Metals Limited (ASX:AMI)?
A look at the shareholders of Aurelia Metals Limited (ASX: AMI) can tell us which group is more powerful. Generally speaking, as a company grows, institutions increase their ownership. Conversely, insiders often decrease their ownership over time. Companies that were previously publicly owned tend to have less insider ownership.
Aurelia Metals is not a big company by world standards. It has a market capitalization of A$353 million, which means it wouldn’t get the attention of many institutional investors. In the graph below, we can see that the institutions own shares in the company. Let’s dig deeper into each owner type to learn more about Aurelia Metals.
What does institutional ownership tell us about Aurelia Metals?
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 sizeable share of Aurelia Metals. This may indicate that the company has some degree of credibility in the investment community. However, it is best to be wary of relying on the so-called validation that accompanies institutional investors. They are also sometimes wrong. If multiple institutions change their minds on a stock at the same time, you could see the stock price drop quickly. So it’s worth checking out Aurelia Metals’ earnings history below. Of course, the future is what really matters.
Aurelia Metals does not belong to hedge funds. Van Eck Associates Corporation is currently the company’s largest shareholder with 5.0% of the outstanding shares. The second and third largest shareholders are Perennial Value Management Limited and First Sentier Investors (Australia) IM Ltd, with an equal number of shares to their name at 4.8%.
After digging a little deeper, we found that the top 17 held combined ownership of 50% of the company, suggesting that no single shareholder has significant control over the company.
Institutional ownership research is a good way to assess and filter a stock’s expected performance. The same can be obtained by studying the feelings of the analyst. Although there is some analyst coverage, the company is probably not widely covered. So it could attract more attention, on the track.
Insider Ownership of Aurelia Metals
The definition of company insiders can be subjective and varies from jurisdiction to jurisdiction. Our data reflects individual insiders, capturing at least board members. The management of the company answers to the board of directors and the latter must represent the interests of the shareholders. In particular, sometimes the senior executives themselves sit on the board of directors.
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.
Our most recent data indicates that insiders hold certain shares of Aurelia Metals Limited. As individuals, the insiders collectively own A$11 million of the A$353 million company. Good to see insider investing, but might be worth checking out if these insiders bought.
General public property
The general public, generally individual investors, holds 45% of the capital of Aurelia Metals. This size of ownership, although considerable, may not be sufficient to change company policy if the decision is not in line with other large shareholders.
Ownership of a public company
We can see that public companies hold 4.5% of Aurelia Metals shares outstanding. 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.
While it is worth considering the different groups that own a business, there are other, even more important factors. Be aware that Aurelia Metals presents 1 warning sign in our investment analysis you should know…
At the end of the day the future is the most important. You can access this free analyst forecast report for the company.
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.
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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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