Stock Analysis

Private companies who hold 57% of Vamos Locação de Caminhões, Máquinas e Equipamentos S.A. (BVMF:VAMO3) gained 16%, institutions profited as well

BOVESPA:VAMO3
Source: Shutterstock

Key Insights

To get a sense of who is truly in control of Vamos Locação de Caminhões, Máquinas e Equipamentos S.A. (BVMF:VAMO3), 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 57% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Private companies gained the most after market cap touched R$6.3b last week, while institutions who own 20% also benefitted.

Let's take a closer look to see what the different types of shareholders can tell us about Vamos Locação de Caminhões Máquinas e Equipamentos.

View our latest analysis for Vamos Locação de Caminhões Máquinas e Equipamentos

ownership-breakdown
BOVESPA:VAMO3 Ownership Breakdown December 12th 2024

What Does The Institutional Ownership Tell Us About Vamos Locação de Caminhões Máquinas e Equipamentos?

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.

We can see that Vamos Locação de Caminhões Máquinas e Equipamentos does have institutional investors; and they hold a good portion of the company's stock. 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 Vamos Locação de Caminhões Máquinas e Equipamentos' earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
BOVESPA:VAMO3 Earnings and Revenue Growth December 12th 2024

It would appear that 6.8% of Vamos Locação de Caminhões Máquinas e Equipamentos shares are controlled by hedge funds. That's interesting, because hedge funds can be quite active and activist. Many look for medium term catalysts that will drive the share price higher. Looking at our data, we can see that the largest shareholder is JSP Holding S.A. with 57% of shares outstanding. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. With 6.8% and 5.2% of the shares outstanding respectively, Tordesilhas Capital Gestora De Recursos Ltda and FMR LLC are the second and third largest shareholders.

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

Insider Ownership Of Vamos Locação de Caminhões Máquinas e Equipamentos

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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.

Our data cannot confirm that board members are 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

With a 16% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Vamos Locação de Caminhões Máquinas e Equipamentos. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.

Private Company Ownership

It seems that Private Companies own 57%, of the Vamos Locação de Caminhões Máquinas e Equipamentos stock. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.

Next Steps:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Be aware that Vamos Locação de Caminhões Máquinas e Equipamentos is showing 4 warning signs in our investment analysis , and 3 of those make us uncomfortable...

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.

New: Manage All Your Stock Portfolios in One Place

We've created the ultimate portfolio companion for stock investors, and it's free.

• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks

Try a Demo Portfolio for Free

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.