Meshek Energy - Renewable Energies Ltd. (TLV:MSKE) surges 5.3%; private companies who own 59% shares profited along with institutions

Key Insights

• The considerable ownership by private companies in Meshek Energy - Renewable Energies indicates that they collectively have a greater say in management and business strategy
• The top 2 shareholders own 61% of the company
• 28% of Meshek Energy - Renewable Energies is held by Institutions

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If you want to know who really controls Meshek Energy - Renewable Energies Ltd. (TLV:MSKE), then you'll have to look at the makeup of its share registry. The group holding the most number of shares in the company, around 59% to be precise, is private companies. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

While private companies were the group that benefitted the most from last week’s ₪197m market cap gain, institutions too had a 28% share in those profits.

Let's take a closer look to see what the different types of shareholders can tell us about Meshek Energy - Renewable Energies.

Check out our latest analysis for Meshek Energy - Renewable Energies

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

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

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

We note that hedge funds don't have a meaningful investment in Meshek Energy - Renewable Energies. Mishkei Hatakam Central Agric. Cooperative Society Ltd. is currently the company's largest shareholder with 48% of shares outstanding. With 13% and 11% of the shares outstanding respectively, Clal Pension And Gemel Ltd and SARAMAITU (2009) LTD are the second and third largest shareholders.

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 61% stake.

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. 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 Meshek Energy - Renewable Energies

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.

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 data cannot confirm that board members are holding shares personally. Not all jurisdictions have the same rules around disclosing insider ownership, and it is possible we have missed something, here. So you can click here learn more about the CEO.

General Public Ownership

The general public, who are usually individual investors, hold a 13% stake in Meshek Energy - Renewable Energies. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Private Company Ownership

We can see that Private Companies own 59%, of the shares on issue. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Meshek Energy - Renewable Energies better, we need to consider many other factors. Take risks for example - Meshek Energy - Renewable Energies has 1 warning sign we think you should be aware of.

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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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.