What Kind Of Shareholders Own First Abu Dhabi Bank P.J.S.C. (ADX:FAB)?

If you want to know who really controls First Abu Dhabi Bank P.J.S.C. (ADX:FAB), then you'll have to look at the makeup of its share registry. Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. We also tend to see lower insider ownership in companies that were previously publicly owned.

With a market capitalization of د.إ139b, First Abu Dhabi Bank P.J.S.C is rather large. We'd expect to see institutional investors on the register. Companies of this size are usually well known to retail investors, too. Taking a look at our data on the ownership groups (below), it seems that institutions are noticeable on the share registry. Let's take a closer look to see what the different types of shareholders can tell us about First Abu Dhabi Bank P.J.S.C.

Check out our latest analysis for First Abu Dhabi Bank P.J.S.C

What Does The Institutional Ownership Tell Us About First Abu Dhabi Bank P.J.S.C?

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.

First Abu Dhabi Bank P.J.S.C already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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 First Abu Dhabi Bank P.J.S.C's earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in First Abu Dhabi Bank P.J.S.C. Our data shows that Abu Dhabi Investment Council is the largest shareholder with 33% of shares outstanding. For context, the second largest shareholder holds about 3.7% of the shares outstanding, followed by an ownership of 1.4% by the third-largest shareholder.

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

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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of First Abu Dhabi Bank P.J.S.C

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.

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 note our data does not show any board members holding shares, personally. Not all jurisdictions have the same rules around disclosing insider ownership, and it is possible we have missed something, here. So you can click here learn more about the CEO.

General Public Ownership

The general public -- mostly retail investors -- own 59% of First Abu Dhabi Bank P.J.S.C. This size of ownership gives retail investors collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand First Abu Dhabi Bank P.J.S.C better, we need to consider many other factors. To that end, you should be aware of the 1 warning sign we've spotted with First Abu Dhabi Bank P.J.S.C .

Ultimately the future is most important. You can access this free report on analyst forecasts for the company.

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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