Is Yourgene Health Plc (LON: YGEN) shareholder ownership skewed on insiders?

Every Yourgene Health Plc (LON: YGEN) investor should be aware of the most powerful groups of shareholders. Large companies usually have institutions as shareholders, and we usually see insiders who own stakes in smaller companies. Warren Buffett said he likes “a company that has an enduring competitive advantage and is run by capable, owner-focused people.” So it’s nice to see some inside ownership as it may suggest that the management is owner-focused.

Yourgene Health is a smaller company with a market cap of £ 109m, so it may still be flying under the radar of many institutional investors. Our analysis of company ownership below shows that institutions can be identified in the share register. Let’s take a closer look at what the different types of shareholders can tell us about Yourgene Health.

Check out our latest analysis for Yourgene Health

What does institutional ownership tell us about Yourgene Health?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they are often more enthusiastic about a stock once it has been included in a large index. We would expect most companies to have some institutes on their register, especially as they grow.

Yourgene Health already has institutions in its share register. In fact, they own a respectable stake in the company. This implies that the analysts at these institutions have looked at the stock and like it. But like everyone else, they can be wrong too. It’s not uncommon for the stock price to drop sharply when two large institutional investors are trying to sell a stock at the same time. So it’s worth checking out Yourgene Health’s income history so far (below). Of course, keep in mind that there are other factors to consider as well.

Hedge funds don’t have a lot of shares in Yourgene Health. Our data shows that Bill Chang is the largest shareholder with 11% of the shares outstanding. In comparison, the second and third largest shareholders hold around 9.1% and 7.6% of the shares, respectively.

After further research, we found that the top 13 collectively own 51% of the company, suggesting that no single shareholder has significant control over the company.

While studying the institutional ownership of a company can add value to your research, researching analyst recommendations to get a deeper understanding of a stock’s expected performance is also good practice. While there is some analyst reporting, the company is unlikely to be fully covered. So it could get more attention on the track.

Inside ownership of Yourgene Health

While the exact definition of an insider can be subjective, almost every board member considers an insider. Management ultimately replies to the board. However, it is not uncommon for managers to be board members, especially when they are founders or CEOs.

Most consider insider ownership to be a positive as it may indicate that the board is well aligned with other shareholders. However, sometimes too much power is concentrated within this group.

Our latest data shows that insiders own a fair stake in Yourgene Health Plc. Insiders own £ 24m worth of shares in the company, valued at £ 109m. This could indicate that the founders still own a lot of stocks. You can click here to see if they bought or sold.

General public property

The general public, with a 25% stake in the company, will not be easily ignored. While this group may not be in charge, it can certainly have a real impact on how the company is run.

Private equity ownership

With a share of 15%, private equity companies are able to help shape corporate strategies geared towards value creation. Some may like that because private equity are sometimes activists who hold management accountable. But at other times, private equity has sold out and taken the company public.

Next Steps:

While it is worth considering a company’s different groups of owners, there are other factors that are even more important. Take risks, for example – Yourgene Health has 1 warning sign We think you should be aware of this.

If you’re like me, you might want to think about whether this company is going to grow or shrink. Fortunately, you can check out this free analyst forecast report for the future.

Note: The numbers in this article are calculated using data for the past twelve months, which refers to the twelve month period ending on the last day of the month in which the financial statements are dated. This may not match the figures in the financial statements.

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This article from Simply Wall St is of a general nature. We only provide comments based on historical data and analyst projections using an unbiased methodology, and our articles are not intended as financial advice. It is not a recommendation to buy or sell stocks and does not take into account your goals or your financial situation. Our goal is to provide you with long-term, focused analysis based on fundamentals. Note that our analysis may not take into account the latest company announcements or quality material, which may be sensitive to the price. Simply Wall St has no position in the stocks mentioned.
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