Yahoo Finance Guardian Capital Group Limited's (TSE:GCG.A) top owners are individual investors with 46% stake, while 26% is held by private companies
Key Insights
Guardian Capital Group's significant individual investors ownership suggests that the key decisions are influenced by shareholders from the larger public
The top 9 shareholders own 50% of the company
To get a sense of who is truly in control of Guardian Capital Group Limited (TSE:GCG.A), it is important to understand the ownership structure of the business. The group holding the most number of shares in the company, around 46% to be precise, is individual investors. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
Private companies, on the other hand, account for 26% of the company's stockholders.
Let's delve deeper into each type of owner of Guardian Capital Group, beginning with the chart below.
Check out our latest analysis for Guardian Capital Group
What Does The Institutional Ownership Tell Us About Guardian Capital Group?
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.
We can see that Guardian Capital Group does have institutional investors; and they hold a good portion of the company's stock. 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. 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 Guardian Capital Group's earnings history below. Of course, the future is what really matters.
We note that hedge funds don't have a meaningful investment in Guardian Capital Group. Minic Investments Limited is currently the largest shareholder, with 26% of shares outstanding. With 10% and 2.8% of the shares outstanding respectively, EdgePoint Investment Group Inc. and Pembroke Management Ltd. are the second and third largest shareholders. In addition, we found that George Mavroudis, the CEO has 1.5% of the shares allocated to their name.
We also observed that the top 9 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.
Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.
Insider Ownership Of Guardian Capital Group
The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.
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.
We can see that insiders own shares in Guardian Capital Group Limited. In their own names, insiders own CA$60m worth of stock in the CA$1.1b company. Some would say this shows alignment of interests between shareholders and the board. But it might be worth checking if those insiders have been selling.
General Public Ownership
The general public, who are usually individual investors, hold a 46% stake in Guardian Capital Group. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Private Company Ownership
We can see that Private Companies own 26%, of the shares on issue. Private companies may be related parties. Sometimes insiders have an interest in a public company through a holding in a private company, rather than in their own capacity as an individual. While it's hard to draw any broad stroke conclusions, it is worth noting as an area for further research.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand Guardian Capital Group better, we need to consider many other factors. For example, we've discovered 1 warning sign for Guardian Capital Group that you should be aware of before investing here.
If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.
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.
