Positivo Tecnologia S.A.'s (BVMF:POSI3) CEO Helio Rotenberg is the most upbeat insider, and their holdings increased by 10% last week

Key Insights

• Significant insider control over Positivo Tecnologia implies vested interests in company growth
• The top 12 shareholders own 52% of the company
• 17% of Positivo Tecnologia is held by Institutions

To get a sense of who is truly in control of Positivo Tecnologia S.A. (BVMF:POSI3), it is important to understand the ownership structure of the business. We can see that individual insiders own the lion's share in the company with 48% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

As a result, insiders scored the highest last week as the company hit R$905m market cap following a 10% gain in the stock.

Let's delve deeper into each type of owner of Positivo Tecnologia, beginning with the chart below.

See our latest analysis for Positivo Tecnologia

What Does The Institutional Ownership Tell Us About Positivo Tecnologia?

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.

Positivo Tecnologia 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. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Positivo Tecnologia, (below). Of course, keep in mind that there are other factors to consider, too.

Hedge funds don't have many shares in Positivo Tecnologia. Looking at our data, we can see that the largest shareholder is the CEO Helio Rotenberg with 13% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 6.9% and 5.0%, of the shares outstanding, respectively.

After doing some more digging, we found that the top 12 have the combined ownership of 52% in the company, suggesting that no single shareholder has significant control over the company.

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. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of Positivo Tecnologia

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. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.

It seems insiders own a significant proportion of Positivo Tecnologia S.A.. Insiders own R$431m worth of shares in the R$905m company. We would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public-- including retail investors -- own 35% stake in the company, and hence can't easily be ignored. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Positivo Tecnologia better, we need to consider many other factors. Be aware that Positivo Tecnologia is showing 2 warning signs in our investment analysis , you should know about...

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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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.