Stock Analysis

How Many Energix - Renewable Energies Ltd (TLV:ENRG) Shares Do Institutions Own?

TASE:ENRG
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A look at the shareholders of Energix - Renewable Energies Ltd (TLV:ENRG) can tell us which group is most powerful. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. We also tend to see lower insider ownership in companies that were previously publicly owned.

Energix - Renewable Energies isn't enormous, but it's not particularly small either. It has a market capitalization of ₪6.6b, which means it would generally expect to see some institutions on the share registry. Taking a look at our data on the ownership groups (below), it seems that institutions are noticeable on the share registry. Let's delve deeper into each type of owner, to discover more about Energix - Renewable Energies.

Check out our latest analysis for Energix - Renewable Energies

ownership-breakdown
TASE:ENRG Ownership Breakdown November 24th 2020

What Does The Institutional Ownership Tell Us About Energix - Renewable Energies?

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.

Energix - Renewable Energies already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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 Energix - Renewable Energies' earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
TASE:ENRG Earnings and Revenue Growth November 24th 2020

Since institutional investors own more than half the issued stock, the board will likely have to pay attention to their preferences. Energix - Renewable Energies is not owned by hedge funds. Alony-Hetz Properties & Investments Ltd is currently the company's largest shareholder with 54% of shares outstanding. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. For context, the second largest shareholder holds about 8.1% of the shares outstanding, followed by an ownership of 3.6% by the third-largest shareholder. Additionally, the company's CEO Asa Levinger directly holds 0.7% of the total shares outstanding.

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. We're not picking up on any analyst coverage of the stock at the moment, so the company is unlikely to be widely held.

Insider Ownership Of Energix - Renewable Energies

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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.

Shareholders would probably be interested to learn that insiders own shares in Energix - Renewable Energies Ltd. The insiders have a meaningful stake worth ₪102m. Most would see this as a real positive. It is good to see this level of investment by insiders. You can check here to see if those insiders have been buying recently.

General Public Ownership

The general public holds a 25% stake in Energix - Renewable Energies. 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. Like risks, for instance. Every company has them, and we've spotted 3 warning signs for Energix - Renewable Energies (of which 2 are potentially serious!) you should know about.

Of course this may not be the best stock to buy. Therefore, you may wish to see our free collection of interesting prospects boasting favorable financials.

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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About TASE:ENRG

Energix - Renewable Energies

Through its subsidiaries, engages in the initiation, development, financing, construction, management, and operation of facilities for the production and storage of electricity from renewable energy sources in Israel, Poland, and the United States.

Slight unattractive dividend payer.