- Mexico
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- Metals and Mining
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- BMV:ICH B
With a 68% stake, Industrias CH, S. A. B. de C. V. (BMV:ICHB) insiders have a lot riding on the company
Key Insights
- Insiders appear to have a vested interest in Industrias CH S. A. B. de C. V's growth, as seen by their sizeable ownership
- 68% of the company is held by a single shareholder (Rufino Vigil Gonzalez)
- 12% of Industrias CH S. A. B. de C. V is held by Institutions
To get a sense of who is truly in control of Industrias CH, S. A. B. de C. V. (BMV:ICHB), it is important to understand the ownership structure of the business. The group holding the most number of shares in the company, around 68% to be precise, is individual insiders. Put another way, the group faces the maximum upside potential (or downside risk).
With such a notable stake in the company, insiders would be highly incentivised to make value accretive decisions.
In the chart below, we zoom in on the different ownership groups of Industrias CH S. A. B. de C. V.
See our latest analysis for Industrias CH S. A. B. de C. V
What Does The Institutional Ownership Tell Us About Industrias CH S. A. B. de C. V?
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 Industrias CH S. A. B. de C. V. 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. 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 Industrias CH S. A. B. de C. V's earnings history below. Of course, the future is what really matters.
We note that hedge funds don't have a meaningful investment in Industrias CH S. A. B. de C. V. Rufino Vigil Gonzalez is currently the largest shareholder, with 68% of shares outstanding. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. Operadora Inbursa de Fondos de Inversión, SA de C.V., Grupo Financiero Inbursa is the second largest shareholder owning 5.8% of common stock, and Impulsora de Fondos Banamex, S.A. de C.V., Sociedad Operadora de Sociedades de Inversion holds about 3.7% of the company stock.
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. There is some analyst coverage of the stock, but it could still become more well known, with time.
Insider Ownership Of Industrias CH S. A. B. de C. V
While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.
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 most recent data indicates that insiders own the majority of Industrias CH, S. A. B. de C. V.. This means they can collectively make decisions for the company. Given it has a market cap of Mex$74b, that means insiders have a whopping Mex$50b worth of shares in their own names. 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
The general public, who are usually individual investors, hold a 20% stake in Industrias CH S. A. B. de C. V. 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 Industrias CH S. A. B. de C. V 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.
About BMV:ICH B
Industrias CH S. A. B. de C. V
Through its subsidiaries, engages in the production and processing of steel in Mexico and North America.
Flawless balance sheet with solid track record.
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