Canada Markets close in 4 hrs 41 mins
  • S&P/TSX

    20,810.71
    +59.66 (+0.29%)
     
  • S&P 500

    4,174.60
    +55.39 (+1.34%)
     
  • DOW

    33,975.00
    -117.96 (-0.35%)
     
  • CAD/USD

    0.7511
    -0.0015 (-0.2043%)
     
  • CRUDE OIL

    76.21
    -0.20 (-0.26%)
     
  • BTC-CAD

    31,707.29
    +878.22 (+2.85%)
     
  • CMC Crypto 200

    544.25
    -1.06 (-0.19%)
     
  • GOLD FUTURES

    1,938.80
    -4.00 (-0.21%)
     
  • RUSSELL 2000

    1,999.90
    +39.09 (+1.99%)
     
  • 10-Yr Bond

    3.3490
    -0.0480 (-1.41%)
     
  • NASDAQ

    12,150.14
    +333.82 (+2.83%)
     
  • VOLATILITY

    17.60
    -0.27 (-1.51%)
     
  • FTSE

    7,805.61
    +44.50 (+0.57%)
     
  • NIKKEI 225

    27,402.05
    +55.17 (+0.20%)
     
  • CAD/EUR

    0.6868
    +0.0023 (+0.34%)
     

What Type Of Shareholders Own The Most Number of BriaCell Therapeutics Corp. (TSE:BCT) Shares?

A look at the shareholders of BriaCell Therapeutics Corp. (TSE:BCT) can tell us which group is most powerful. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. Warren Buffett said that he likes "a business with enduring competitive advantages that is run by able and owner-oriented people." So it's nice to see some insider ownership, because it may suggest that management is owner-oriented.

With a market capitalization of CA$136m, BriaCell Therapeutics is a small cap stock, so it might not be well known by many institutional investors. Our analysis of the ownership of the company, below, shows that institutions own shares in the company. We can zoom in on the different ownership groups, to learn more about BriaCell Therapeutics.

Check out our latest analysis for BriaCell Therapeutics

ownership-breakdown
ownership-breakdown

What Does The Institutional Ownership Tell Us About BriaCell Therapeutics?

Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.

We can see that BriaCell Therapeutics does have institutional investors; and they hold a good portion of the company's stock. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. 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 BriaCell Therapeutics' historic earnings and revenue below, but keep in mind there's always more to the story.

earnings-and-revenue-growth
earnings-and-revenue-growth

It would appear that 5.6% of BriaCell Therapeutics shares are controlled by hedge funds. That catches my attention because hedge funds sometimes try to influence management, or bring about changes that will create near term value for shareholders. The company's largest shareholder is Marc Lustig, with ownership of 11%. In comparison, the second and third largest shareholders hold about 10% and 5.6% of the stock. Additionally, the company's CEO William Williams directly holds 1.0% of the total shares outstanding.

Our studies suggest that the top 25 shareholders collectively control less than half of the company's shares, meaning that the company's shares are widely disseminated and there is no dominant shareholder.

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. There is some analyst coverage of the stock, but it could still become more well known, with time.

Insider Ownership Of BriaCell Therapeutics

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.

Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.

Our most recent data indicates that insiders own a reasonable proportion of BriaCell Therapeutics Corp.. It has a market capitalization of just CA$136m, and insiders have CA$17m worth of shares in their own names. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.

General Public Ownership

The general public, mostly comprising of individual investors, collectively holds 54% of BriaCell Therapeutics shares. This level of ownership gives investors from the wider public some power to sway key policy decisions such as board composition, executive compensation, and the dividend payout ratio.

Private Company Ownership

It seems that Private Companies own 5.4%, of the BriaCell Therapeutics stock. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.

Next Steps:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Like risks, for instance. Every company has them, and we've spotted 3 warning signs for BriaCell Therapeutics (of which 2 are a bit concerning!) you should know about.

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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.

Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here