Individual investors who hold 59% of Meridian Mining UK Societas (TSE:MNO) gained 9.0%, insiders profited as well

Key Insights

• The considerable ownership by individual investors in Meridian Mining UK Societas indicates that they collectively have a greater say in management and business strategy
• 30% of the business is held by the top 19 shareholders
• 13% of Meridian Mining UK Societas is held by insiders

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If you want to know who really controls Meridian Mining UK Societas (TSE:MNO), then you'll have to look at the makeup of its share registry. And the group that holds the biggest piece of the pie are individual investors with 59% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

While individual investors were the group that benefitted the most from last week’s CA$79m market cap gain, insiders too had a 13% share in those profits.

Let's delve deeper into each type of owner of Meridian Mining UK Societas, beginning with the chart below.

Check out our latest analysis for Meridian Mining UK Societas

What Does The Institutional Ownership Tell Us About Meridian Mining UK Societas?

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.

As you can see, institutional investors have a fair amount of stake in Meridian Mining UK Societas. 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 Meridian Mining UK Societas' earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in Meridian Mining UK Societas. Our data shows that Henry Maxey is the largest shareholder with 12% of shares outstanding. With 7.1% and 3.1% of the shares outstanding respectively, Jupiter Fund Management Plc and Franklin Resources, Inc. are the second and third largest shareholders. Additionally, the company's CEO Gilbert Clark directly holds 1.2% of the total shares outstanding.

A deeper look at our ownership data shows that the top 19 shareholders collectively hold less than half of the register, suggesting a large group of small holders where no single shareholder has a majority.

While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of Meridian Mining UK Societas

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.

Our most recent data indicates that insiders own a reasonable proportion of Meridian Mining UK Societas. It has a market capitalization of just CA$346m, and insiders have CA$45m worth of shares in their own names. 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, mostly comprising of individual investors, collectively holds 59% of Meridian Mining UK Societas shares. This size of ownership gives investors from the general public some collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.

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. For example, we've discovered 2 warning signs for Meridian Mining UK Societas that you should be aware of before investing here.

But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter 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. 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.