Stock Analysis

Servicios Corporativos Javer, S.A.B. de C.V.'s (BMV:JAVER) biggest owners are retail investors who got richer after stock soared 22% last week

BMV:JAVER *
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Key Insights

  • The considerable ownership by retail investors in Servicios Corporativos Javer. de indicates that they collectively have a greater say in management and business strategy
  • A total of 2 investors have a majority stake in the company with 50% ownership
  • 24% of Servicios Corporativos Javer. de is held by insiders

If you want to know who really controls Servicios Corporativos Javer, S.A.B. de C.V. (BMV:JAVER), then you'll have to look at the makeup of its share registry. We can see that retail investors own the lion's share in the company with 50% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

As a result, retail investors were the biggest beneficiaries of last week’s 22% gain.

Let's delve deeper into each type of owner of Servicios Corporativos Javer. de, beginning with the chart below.

View our latest analysis for Servicios Corporativos Javer. de

ownership-breakdown
BMV:JAVER * Ownership Breakdown December 10th 2024

What Does The Lack Of Institutional Ownership Tell Us About Servicios Corporativos Javer. de?

Small companies that are not very actively traded often lack institutional investors, but it's less common to see large companies without them.

There could be various reasons why no institutions own shares in a company. Typically, small, newly listed companies don't attract much attention from fund managers, because it would not be possible for large fund managers to build a meaningful position in the company. Alternatively, there might be something about the company that has kept institutional investors away. Servicios Corporativos Javer. de's earnings and revenue track record (below) may not be compelling to institutional investors -- or they simply might not have looked at the business closely.

earnings-and-revenue-growth
BMV:JAVER * Earnings and Revenue Growth December 10th 2024

We note that hedge funds don't have a meaningful investment in Servicios Corporativos Javer. de. The company's largest shareholder is Southern Cross Group, with ownership of 26%. Meanwhile, the second largest shareholder is Salomón Marcuschamer Stavchansky holding 24%.

After doing some more digging, we found that the top 2 shareholders collectively control more than half of the company's shares, implying that they have considerable power to influence the company's decisions.

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. There is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of Servicios Corporativos Javer. de

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.

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 information suggests that insiders maintain a significant holding in Servicios Corporativos Javer, S.A.B. de C.V.. Insiders own Mex$804m worth of shares in the Mex$3.3b company. We would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public-- including retail investors -- own 50% stake in the company, and hence can't easily be ignored. 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 Equity Ownership

With an ownership of 26%, private equity firms are in a position to play a role in shaping corporate strategy with a focus on value creation. Some might like this, because private equity are sometimes activists who hold management accountable. But other times, private equity is selling out, having taking the company public.

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 2 warning signs for Servicios Corporativos Javer. de (of which 1 is a bit unpleasant!) you should know about.

If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.

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.