Individual investors among Dolly Varden Silver Corporation's (CVE:DV) largest stockholders and were hit after last week's 19% price drop

Key Insights

• Significant control over Dolly Varden Silver by individual investors implies that the general public has more power to influence management and governance-related decisions
• 48% of the business is held by the top 20 shareholders
• Insider ownership in Dolly Varden Silver is 10%

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If you want to know who really controls Dolly Varden Silver Corporation (CVE:DV), then you'll have to look at the makeup of its share registry. We can see that individual investors own the lion's share in the company with 52% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

As a result, individual investors as a group endured the highest losses last week after market cap fell by CA$64m.

In the chart below, we zoom in on the different ownership groups of Dolly Varden Silver.

Check out our latest analysis for Dolly Varden Silver

What Does The Institutional Ownership Tell Us About Dolly Varden Silver?

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.

Dolly Varden Silver already has institutions on the share registry. Indeed, they own a respectable stake in the company. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. 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 Dolly Varden Silver, (below). Of course, keep in mind that there are other factors to consider, too.

Dolly Varden Silver is not owned by hedge funds. Fury Gold Mines Limited is currently the company's largest shareholder with 16% of shares outstanding. Hecla Mining Company is the second largest shareholder owning 13% of common stock, and Eric Sprott holds about 9.6% of the company stock.

A deeper look at our ownership data shows that the top 20 shareholders collectively hold less than half of the register, suggesting a large group of small holders where no single shareholder has a majority.

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. 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 Dolly Varden Silver

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. 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 Dolly Varden Silver Corporation. Insiders have a CA$32m stake in this CA$312m business. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.

General Public Ownership

The general public, mostly comprising of individual investors, collectively holds 52% of Dolly Varden Silver shares. This level of ownership gives investors from the wider public some power to sway key policy decisions such as board composition, executive compensation, and the dividend payout ratio.

Public Company Ownership

We can see that public companies hold 29% of the Dolly Varden Silver shares on issue. We can't be certain but it is quite possible this is a strategic stake. The businesses may be similar, or work together.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. To that end, you should be aware of the 1 warning sign we've spotted with Dolly Varden Silver .

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. 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.