While institutions invested in Coca-Cola Bottlers Japan Holdings Inc. (TSE:2579) benefited from last week's 18% gain, retail investors stood to gain the most

Key Insights

• Significant control over Coca-Cola Bottlers Japan Holdings by retail investors implies that the general public has more power to influence management and governance-related decisions
• A total of 19 investors have a majority stake in the company with 50% ownership
• 26% of Coca-Cola Bottlers Japan Holdings is held by Institutions

Every investor in Coca-Cola Bottlers Japan Holdings Inc. (TSE:2579) should be aware of the most powerful shareholder groups. We can see that retail investors own the lion's share in the company with 47% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

Retail investors gained the most after market cap touched JP¥417b last week, while institutions who own 26% also benefitted.

Let's delve deeper into each type of owner of Coca-Cola Bottlers Japan Holdings, beginning with the chart below.

See our latest analysis for Coca-Cola Bottlers Japan Holdings

What Does The Institutional Ownership Tell Us About Coca-Cola Bottlers Japan Holdings?

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.

As you can see, institutional investors have a fair amount of stake in Coca-Cola Bottlers Japan Holdings. 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. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Coca-Cola Bottlers Japan Holdings, (below). Of course, keep in mind that there are other factors to consider, too.

Hedge funds don't have many shares in Coca-Cola Bottlers Japan Holdings. Our data shows that The Coca-Cola Company is the largest shareholder with 18% of shares outstanding. In comparison, the second and third largest shareholders hold about 4.1% and 2.9% of the stock.

After doing some more digging, we found that the top 19 have the combined ownership of 50% in the company, suggesting that no single shareholder has significant control over the company.

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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Coca-Cola Bottlers Japan Holdings

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. 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.

Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.

Our data suggests that insiders own under 1% of Coca-Cola Bottlers Japan Holdings Inc. in their own names. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. It's a big company, so even a small proportional interest can create alignment between the board and shareholders. In this case insiders own JP¥37m worth of shares. It is always good to see at least some insider ownership, but it might be worth checking if those insiders have been selling.

General Public Ownership

With a 47% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Coca-Cola Bottlers Japan Holdings. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.

Private Company Ownership

Our data indicates that Private Companies hold 6.6%, of the company's shares. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.

Public Company Ownership

Public companies currently own 20% of Coca-Cola Bottlers Japan Holdings stock. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Coca-Cola Bottlers Japan Holdings better, we need to consider many other factors. To that end, you should be aware of the 3 warning signs we've spotted with Coca-Cola Bottlers Japan Holdings .

If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.

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.