Every investor in Agthia Group PJSC (ADX:AGTHIA) should be aware of the most powerful shareholder groups. Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. We also tend to see lower insider ownership in companies that were previously publicly owned.
Agthia Group PJSC is not a large company by global standards. It has a market capitalization of د.إ2.6b, which means it wouldn't have the attention of many institutional investors. In the chart below, we can see that institutions are noticeable on the share registry. Let's delve deeper into each type of owner, to discover more about Agthia Group PJSC.
See our latest analysis for Agthia Group PJSC
What Does The Institutional Ownership Tell Us About Agthia Group PJSC?
Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.
Agthia Group PJSC already has institutions on the share registry. Indeed, they own a respectable stake in the company. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Agthia Group PJSC's earnings history below. Of course, the future is what really matters.
We note that hedge funds don't have a meaningful investment in Agthia Group PJSC. The company's largest shareholder is Senaat General Holding Corporation, with ownership of 51%. This implies that they have majority interest control of the future of the company. Emirates International Investment Company LLC is the second largest shareholder owning 5.0% of common stock, and Norges Bank Investment Management holds about 3.6% of the company stock.
While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track.
Insider Ownership Of Agthia Group PJSC
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 data suggests that insiders own under 1% of Agthia Group PJSC in their own names. But they may have an indirect interest through a corporate structure that we haven't picked up on. It seems the board members have no more than د.إ17k worth of shares in the د.إ2.6b company. Many tend to prefer to see a board with bigger shareholdings. A good next step might be to take a look at this free summary of insider buying and selling.
General Public Ownership
With a 39% ownership, the general public have some degree of sway over Agthia Group PJSC. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Private Equity Ownership
Private equity firms hold a 5.0% stake in Agthia Group PJSC. This suggests they can be influential in key policy decisions. Some might like this, because private equity are sometimes activists who hold management accountable. But other times, private equity is selling out, having taking the company public.
Private Company Ownership
It seems that Private Companies own 51%, of the Agthia Group PJSC stock. Private companies may be related parties. Sometimes insiders have an interest in a public company through a holding in a private company, rather than in their own capacity as an individual. While it's hard to draw any broad stroke conclusions, it is worth noting as an area for further research.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand Agthia Group PJSC better, we need to consider many other factors. Take risks for example - Agthia Group PJSC has 2 warning signs (and 1 which shouldn't be ignored) we think you should know about.
If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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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This article by Simply Wall St is general in nature. 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.
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About ADX:AGTHIA
Agthia Group PJSC
Produces and sells food and beverage products in the United Arab Emirates and internationally.
Excellent balance sheet with proven track record and pays a dividend.