What You Need To Know About Administradora de Fondos de Pensiones Habitat S.A.'s (SNSE:HABITAT) Investor Composition

A look at the shareholders of Administradora de Fondos de Pensiones Habitat S.A. (SNSE:HABITAT) can tell us which group is most powerful. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. Companies that used to be publicly owned tend to have lower insider ownership.

Administradora de Fondos de Pensiones Habitat has a market capitalization of CL$587b, so we would expect some institutional investors to have noticed the stock. Taking a look at our data on the ownership groups (below), it seems that institutional investors have bought into the company. Let's take a closer look to see what the different types of shareholders can tell us about Administradora de Fondos de Pensiones Habitat.

View our latest analysis for Administradora de Fondos de Pensiones Habitat

What Does The Institutional Ownership Tell Us About Administradora de Fondos de Pensiones Habitat?

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.

As you can see, institutional investors have a fair amount of stake in Administradora de Fondos de Pensiones Habitat. 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 Administradora de Fondos de Pensiones Habitat's earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in Administradora de Fondos de Pensiones Habitat. Inversiones La Construcción S.A. is currently the company's largest shareholder with 40% of shares outstanding. Prudential Financial, Inc. is the second largest shareholder owning 40% of common stock, and Inversiones Unión Española S.A. holds about 3.7% of the company stock.

A more detailed study of the shareholder registry showed us that 2 of the top shareholders have a considerable amount of ownership in the company, via their 81% stake.

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. As far I can tell there isn't analyst coverage of the company, so it is probably flying under the radar.

Insider Ownership Of Administradora de Fondos de Pensiones Habitat

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. 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.

Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.

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, with a 13% stake in the company, will not easily be ignored. 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.

Public Company Ownership

It appears to us that public companies own 81% of Administradora de Fondos de Pensiones Habitat. This may be a strategic interest and the two companies may have related business interests. It could be that they have de-merged. This holding is probably worth investigating further.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. For instance, we've identified 1 warning sign for Administradora de Fondos de Pensiones Habitat that you should be aware of.

Of course this may not be the best stock to buy. So take a peek at this free free list of interesting companies.

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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