Grupo Comercial Chedraui, S.A.B. de C.V.'s (BMV:CHDRAUIB): Top Key Executive Jose Chedraui Obeso is the most bullish insider, and their stock value gained 3.9% last week

Key Insights

• Significant insider control over Grupo Comercial Chedraui. de implies vested interests in company growth
• The largest shareholder of the company is Jose Chedraui Obeso with a 74% stake
• Analyst forecasts along with ownership data serve to give a strong idea about prospects for a business

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If you want to know who really controls Grupo Comercial Chedraui, S.A.B. de C.V. (BMV:CHDRAUIB), then you'll have to look at the makeup of its share registry. We can see that individual insiders own the lion's share in the company with 74% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

Clearly, insiders benefitted the most after the company's market cap rose by Mex$4.4b last week.

Let's take a closer look to see what the different types of shareholders can tell us about Grupo Comercial Chedraui. de.

See our latest analysis for Grupo Comercial Chedraui. de

What Does The Institutional Ownership Tell Us About Grupo Comercial Chedraui. 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.

Grupo Comercial Chedraui. de already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Grupo Comercial Chedraui. de's historic earnings and revenue below, but keep in mind there's always more to the story.

Grupo Comercial Chedraui. de 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 Grupo Comercial Chedraui. de's case, its Top Key Executive, Jose Chedraui Obeso, is the largest shareholder, holding 74% of shares outstanding. BlackRock, Inc. is the second largest shareholder owning 3.1% of common stock, and Operadora Inbursa de Fondos de Inversión, SA de C.V., Grupo Financiero Inbursa holds about 1.5% of the company stock.

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 a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of Grupo Comercial Chedraui. 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. 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.

It seems that insiders own more than half the Grupo Comercial Chedraui, S.A.B. de C.V. stock. This gives them a lot of power. That means insiders have a very meaningful Mex$85b stake in this Mex$115b business. Most would argue this is a positive, showing strong alignment with shareholders. You can click here to see if they have been selling down their stake.

General Public Ownership

The general public, who are usually individual investors, hold a 17% stake in Grupo Comercial Chedraui. de. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Grupo Comercial Chedraui. de better, we need to consider many other factors.

I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph .

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.