Stock Analysis

Here's What Grupo Financiero Inbursa, S.A.B. de C.V.'s (BMV:GFINBURO) Shareholder Ownership Structure Looks Like

BMV:GFINBUR O
Source: Shutterstock

If you want to know who really controls Grupo Financiero Inbursa, S.A.B. de C.V. (BMV:GFINBURO), then you'll have to look at the makeup of its share registry. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. I generally like to see some degree of insider ownership, even if only a little. As Nassim Nicholas Taleb said, 'Don’t tell me what you think, tell me what you have in your portfolio.

Grupo Financiero Inbursa. de is a pretty big company. It has a market capitalization of Mex$129b. Normally institutions would own a significant portion of a company this size. In the chart below, we can see that institutional investors have bought into the company. Let's delve deeper into each type of owner, to discover more about Grupo Financiero Inbursa. de.

View our latest analysis for Grupo Financiero Inbursa. de

ownership-breakdown
BMV:GFINBUR O Ownership Breakdown December 21st 2020

What Does The Institutional Ownership Tell Us About Grupo Financiero Inbursa. de?

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 Grupo Financiero Inbursa. de. 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. 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 Grupo Financiero Inbursa. de, (below). Of course, keep in mind that there are other factors to consider, too.

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BMV:GFINBUR O Earnings and Revenue Growth December 21st 2020

Grupo Financiero Inbursa. de is not owned by hedge funds. Carlos Slim Helu is currently the company's largest shareholder with 58% of shares outstanding. This implies that they have majority interest control of the future of the company. With 9.2% and 2.6% of the shares outstanding respectively, CaixaBank, S.A. and Invesco Ltd. are the second and third largest shareholders.

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. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of Grupo Financiero Inbursa. de

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.

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.

Our information suggests that insiders own more than half of Grupo Financiero Inbursa, S.A.B. de C.V.. This gives them effective control of the company. Insiders own Mex$75b worth of shares in the Mex$129b company. That's extraordinary! Most would be pleased to see the board is investing alongside them. You may wish to discover if they have been buying or selling.

General Public Ownership

With a 22% ownership, the general public have some degree of sway over Grupo Financiero Inbursa. de. 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

We can see that public companies hold 9.2% of the Grupo Financiero Inbursa. de shares on issue. 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:

It's always worth thinking about the different groups who own shares in a company. But to understand Grupo Financiero Inbursa. de better, we need to consider many other factors. For instance, we've identified 1 warning sign for Grupo Financiero Inbursa. de that you should be aware of.

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. 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.
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