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The major groups of shareholders of Tristel plc (LON: TSTL) have power over the company. Institutions often own stocks in larger companies, and we expect insiders to own a significant percentage of the smaller ones. Companies that have been privatized tend to have low insider ownership.
With a market cap of £ 297m, Tristel is a small cap stock that many institutional investors may not be familiar with. In the graphic below we can see that institutions own shares in the company. Let’s dive deeper into each type of owner to learn more about Tristel.
Check out our latest analysis for Tristel
What does institutional ownership tell us about Tristel?
Institutional investors often compare their own returns to the returns of a frequently tracked index. As a result, they typically consider buying larger companies that are included in the relevant benchmark index.
We can see that Tristel has institutional investors; and they hold a good chunk of the company’s stock. This may suggest that the company has some credibility in the investment community. However, it is best to be careful not to rely on the supposed validation of institutional investors. Sometimes they get it 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 is worth checking out Tristel’s profit development so far (below). Of course, keep in mind that there are other factors to consider as well.
Institutional investors own over 50% of the company, so together they are likely to have a major impact on board decisions. Tristel is not owned by any hedge funds. If we look at our data, we can see that the largest shareholder is Charles Stanley & Co. Ltd, Asset Management Arm with 9.7% of the shares outstanding. In context, the second largest shareholder holds approximately 6.4% of the outstanding shares, followed by 6.2% owned by the third largest shareholder. In addition, the company’s CEO Paul Swinney directly owns 1.5% of the total outstanding shares.
After further research, we found that the top 11 collectively own 50% 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, it is also a good idea to research analyst recommendations to get a deeper understanding of a stock’s expected performance. There are some analyst reports on the stock, but it could get more prominent over time.
Tristel insider owned
While the exact definition of an insider can be subjective, almost every board member considers an insider. The company management reports to the board of directors, who should represent the interests of the shareholders. It is noteworthy that sometimes top managers sit on the board themselves.
I generally think insider ownership is a good thing. In some cases, however, it makes it difficult for other shareholders to hold the board responsible for decisions.
We see insiders own shares of Tristel plc. It has a market capitalization of just £ 297 million, and insiders have £ 13 million worth of shares in their own name. This shows at least some direction. You can Click here to see if these Insiders bought or sold.
General public property
The general public, who hold 17% of the company, will not be easily ignored. While this property size may not be enough to sway a political decision in their favor, they can still have a collective influence on company policy.
Next Steps:
It is always worth thinking about the different groups that own shares in a company. But to better understand Tristle we need to consider many other factors. To do this, you should check out the 1 warning sign we spotted with Tristel .
If you’d rather find out what analysts are predicting in terms of future growth, don’t miss out free Report on analyst forecast.
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 annual financial statements.
This article from Simply Wall St is of a general nature. 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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