What Kind Of Shareholders Hold The Majority In TAJGVK Hotels & Resorts Limited's (NSE:TAJGVK) Shares?

Every investor in TAJGVK Hotels & Resorts Limited (NSE:TAJGVK) should be aware of the most powerful shareholder groups. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. Warren Buffett said that he likes "a business with enduring competitive advantages that is run by able and owner-oriented people." So it's nice to see some insider ownership, because it may suggest that management is owner-oriented.

TAJGVK Hotels & Resorts is not a large company by global standards. It has a market capitalization of ₹8.3b, 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. We can zoom in on the different ownership groups, to learn more about TAJGVK Hotels & Resorts.

Check out our latest analysis for TAJGVK Hotels & Resorts

What Does The Institutional Ownership Tell Us About TAJGVK Hotels & Resorts?

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.

We can see that TAJGVK Hotels & Resorts 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 TAJGVK Hotels & Resorts' earnings history below. Of course, the future is what really matters.

TAJGVK Hotels & Resorts 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 TAJGVK Hotels & Resorts' case, its Co-Chief Executive Officer, Shalini Bhupal, is the largest shareholder, holding 37% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 26% and 12%, of the shares outstanding, respectively. Interestingly, the third-largest shareholder, G. Reddy is also a Member of the Board of Directors, again, indicating strong insider ownership amongst the company's top 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 63% 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. 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 TAJGVK Hotels & Resorts

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.

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.

It seems that insiders own more than half the TAJGVK Hotels & Resorts Limited stock. This gives them a lot of power. So they have a ₹4.2b stake in this ₹8.3b 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

The general public holds a 10% stake in TAJGVK Hotels & Resorts. 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 26% of TAJGVK Hotels & Resorts. We can't be certain but it is quite possible this is a strategic stake. The businesses may be similar, or work together.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Be aware that TAJGVK Hotels & Resorts is showing 1 warning sign in our investment analysis , 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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