What Type Of Shareholders Own The Most Number of Meshulam Levinstein Contracting & Engineering Ltd. (TLV:LEVI) Shares?

Every investor in Meshulam Levinstein Contracting & Engineering Ltd. (TLV:LEVI) should be aware of the most powerful shareholder groups. Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. I generally like to see some degree of insider ownership, even if only a little. As Nassim Nicholas Taleb said, 'Don’t tell me what you think, tell me what you have in your portfolio.

Meshulam Levinstein Contracting & Engineering is not a large company by global standards. It has a market capitalization of ₪646m, which means it wouldn't have the attention of many institutional investors. 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 Meshulam Levinstein Contracting & Engineering.

View our latest analysis for Meshulam Levinstein Contracting & Engineering

What Does The Institutional Ownership Tell Us About Meshulam Levinstein Contracting & Engineering?

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.

Meshulam Levinstein Contracting & Engineering 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Meshulam Levinstein Contracting & Engineering's historic earnings and revenue below, but keep in mind there's always more to the story.

Hedge funds don't have many shares in Meshulam Levinstein Contracting & Engineering. The company's CEO Shaul Lotan is the largest shareholder with 57% of shares outstanding. With such a huge stake, we infer that they have significant control of the future of the company. It's usually considered a good sign when insiders own a significant number of shares in the company, and in this case, we're glad to see a company insider with such skin in the game. Shlomo Eliahu Holding Ltd, Asset Management Arm is the second largest shareholder owning 13% of common stock, and Chen Lotan holds about 4.1% of the company stock.

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

Insider Ownership Of Meshulam Levinstein Contracting & Engineering

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. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

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 information suggests that insiders own more than half of Meshulam Levinstein Contracting & Engineering Ltd.. This gives them effective control of the company. So they have a ₪423m stake in this ₪646m business. Most would be pleased to see the board is investing alongside them. You may wish todiscover (for free) if they have been buying or selling.

General Public Ownership

With a 17% ownership, the general public have some degree of sway over Meshulam Levinstein Contracting & Engineering. 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.

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 learn about the 3 warning signs we've spotted with Meshulam Levinstein Contracting & Engineering (including 1 which is is significant) .

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this 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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