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- BOVESPA:MOTV3
Motiva Infraestrutura de Mobilidade S.A.'s (BVMF:MOTV3) top owners are private companies with 40% stake, while 34% is held by institutions
Key Insights
- Significant control over Motiva Infraestrutura de Mobilidade by private companies implies that the general public has more power to influence management and governance-related decisions
- 51% of the business is held by the top 5 shareholders
- Institutions own 34% of Motiva Infraestrutura de Mobilidade
To get a sense of who is truly in control of Motiva Infraestrutura de Mobilidade S.A. (BVMF:MOTV3), it is important to understand the ownership structure of the business. We can see that private companies own the lion's share in the company with 40% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
Meanwhile, institutions make up 34% of the company’s shareholders. Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones.
In the chart below, we zoom in on the different ownership groups of Motiva Infraestrutura de Mobilidade.
See our latest analysis for Motiva Infraestrutura de Mobilidade
What Does The Institutional Ownership Tell Us About Motiva Infraestrutura de Mobilidade?
Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.
Motiva Infraestrutura de Mobilidade 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. 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 Motiva Infraestrutura de Mobilidade, (below). Of course, keep in mind that there are other factors to consider, too.
We note that hedge funds don't have a meaningful investment in Motiva Infraestrutura de Mobilidade. Our data shows that Participações Morro Vermelho S.A. is the largest shareholder with 15% of shares outstanding. The second and third largest shareholders are Soares Penido Concessões S.A. and Hejoassu Administração S.A., with an equal amount of shares to their name at 10%.
To make our study more interesting, we found that the top 5 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.
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. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.
Insider Ownership Of Motiva Infraestrutura de Mobilidade
While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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.
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.
We note our data does not show any board members holding shares, personally. It is unusual not to have at least some personal holdings by board members, so our data might be flawed. A good next step would be to check how much the CEO is paid.
General Public Ownership
The general public, who are usually individual investors, hold a 26% stake in Motiva Infraestrutura de Mobilidade. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.
Private Company Ownership
It seems that Private Companies own 40%, of the Motiva Infraestrutura de Mobilidade stock. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand Motiva Infraestrutura de Mobilidade better, we need to consider many other factors. Case in point: We've spotted 1 warning sign for Motiva Infraestrutura de Mobilidade you should be aware of.
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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Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
About BOVESPA:MOTV3
Motiva Infraestrutura de Mobilidade
Provides infrastructure services for highway, rail, and airport concessions in Brazil.
Moderate growth potential with questionable track record.
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