Almogim Holdings Ltd's (TLV:ALMA): Top Key Executive Mario Zuzel is the most bullish insider, and their stock value gained 11% last week

Key Insights

• Insiders appear to have a vested interest in Almogim Holdings' growth, as seen by their sizeable ownership
• The top 2 shareholders own 67% of the company
• Institutions own 15% of Almogim Holdings

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To get a sense of who is truly in control of Almogim Holdings Ltd (TLV:ALMA), it is important to understand the ownership structure of the business. We can see that individual insiders own the lion's share in the company with 67% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Clearly, insiders benefitted the most after the company's market cap rose by ₪39m last week.

In the chart below, we zoom in on the different ownership groups of Almogim Holdings.

See our latest analysis for Almogim Holdings

What Does The Institutional Ownership Tell Us About Almogim Holdings?

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.

We can see that Almogim Holdings 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 Almogim Holdings' earnings history below. Of course, the future is what really matters.

Almogim Holdings is not owned by hedge funds. Because actions speak louder than words, we consider it a good sign when insiders own a significant stake in a company. In Almogim Holdings' case, its Top Key Executive, Mario Zuzel, is the largest shareholder, holding 33% of shares outstanding. With 33% and 9.5% of the shares outstanding respectively, Ami Bar-Mashiah and Analyst I.M.S. Investment Management Services Ltd are the second and third largest shareholders. Interestingly, the second-largest shareholder, Ami Bar-Mashiah is also Top Key Executive, again, pointing towards strong insider ownership amongst the company's top shareholders.

After doing some more digging, we found that the top 2 shareholders collectively control more than half of the company's shares, implying that they have considerable power to influence the company's decisions.

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

Insider Ownership Of Almogim Holdings

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

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.

It seems that insiders own more than half the Almogim Holdings Ltd stock. This gives them a lot of power. Given it has a market cap of ₪409m, that means they have ₪273m worth of shares. Most would argue this is a positive, showing strong alignment with shareholders. You can click here to see if those insiders have been buying or selling.

General Public Ownership

With a 18% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Almogim Holdings. 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:

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 instance, we've identified 3 warning signs for Almogim Holdings (2 are concerning) 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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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.