What you need to know about the Man Group plc (LON: EMG) investor makeup

A look at the shareholders of Man Group plc (LON: EMG) tells us which group is the strongest. Institutions often own stocks in larger companies, and we expect insiders to own a significant percentage of the smaller ones. Companies that were previously publicly owned tend to have less insider ownership.

Man Group is a pretty big company. It has a market capitalization of 3.1 billion. Normally, institutions would own a significant stake in a company of this size. Our analysis of company ownership below shows that institutions can be identified in the share register. We can zoom in on the different groups of owners to learn more about the Man Group.

Check out our latest analysis for the Man Group

LSE: EMG Property Breakdown October 15, 2021

What does institutional ownership tell us about Man Group?

Many institutions measure their performance against an index that approximates the local market. As a result, they tend to pay more attention to companies that are in major indices.

The Man Group already has institutes in the 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 the Man Group’s past earnings history (below). Of course, keep in mind that there are other factors to consider as well.

Revenue-and-revenue growth
LSE: EMG earnings and sales growth October 15, 2021

Hedge funds don’t have a lot of shares in Man Group. Silchester International Investors LLP is currently the largest shareholder with 9.5% of the issued shares. In comparison, the second and third largest shareholders hold around 6.2% and 4.8% of the shares, respectively.

A closer look at our ownership data reveals that the top 25 shareholders collectively hold less than half of the register, suggesting a large group of small shareholders where no single shareholder has a majority.

While it makes sense to examine institutional ownership data for a company, it also makes sense to examine analyst sentiment to know which way the wind is blowing. Quite a few analysts cover the stock so you can easily look at the forecast growth.

Man Group insider ownership

While the exact definition of an insider can be subjective, almost every board member considers an insider. The top management runs the business, but the CEO will be accountable to the board even if he or she is a member of the board.

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 less than 1% of Man Group plc. Remember, this is a large company and Insider owns £ 22 million worth of stocks. The absolute value could be more important than the proportional part. It’s always good to see at least some insider ownership, but it might be worth checking to see if those insiders have sold.

General public property

The public collectively owns 51% of the shares in Man Group. This level of ownership gives investors from the general public some power to influence key policy decisions such as the composition of the board of directors, executive compensation, and the dividend payout ratio.

Next Steps:

It is always worth thinking about the different groups that own shares in a company. But to understand Man Group better, we need to consider many other factors. Notice that the Man Group is displayed 2 warning signs in our investment analysis , and 1 of them is a bit uncomfortable …

Eventually the future is the most important thing. You can access it for free Report on analyst forecast for the company.

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. 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.

Do you have any feedback on this article? Concerned about the content? Get in touch directly with us. Alternatively, send an email to the editorial team (at) simplywallst.com.

About Nina Snider

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