Stock Analysis
Qatar National Bank (Q.P.S.C.) (DSM:QNBK) stock most popular amongst sovereign wealth funds who own 50%, while individual investors hold 43%
Key Insights
- Qatar National Bank (Q.P.S.C.)'s significant sovereign wealth funds ownership suggests that the key decisions are influenced by shareholders from the larger public
- Qatar Investment Authority owns 50% of the company
- Using data from analyst forecasts alongside ownership research, one can better assess the future performance of a company
To get a sense of who is truly in control of Qatar National Bank (Q.P.S.C.) (DSM:QNBK), it is important to understand the ownership structure of the business. With 50% stake, sovereign wealth funds possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
Meanwhile, individual investors make up 43% of the company’s shareholders.
Let's delve deeper into each type of owner of Qatar National Bank (Q.P.S.C.), beginning with the chart below.
See our latest analysis for Qatar National Bank (Q.P.S.C.)
What Does The Institutional Ownership Tell Us About Qatar National Bank (Q.P.S.C.)?
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.
Qatar National Bank (Q.P.S.C.) already has institutions on the share registry. Indeed, they own a respectable stake in the company. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. 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 Qatar National Bank (Q.P.S.C.), (below). Of course, keep in mind that there are other factors to consider, too.
Hedge funds don't have many shares in Qatar National Bank (Q.P.S.C.). Qatar Investment Authority is currently the largest shareholder, with 50% of shares outstanding. With such a huge stake in the ownership, we infer that they have significant control of the future of the company. Meanwhile, the second and third largest shareholders, hold 2.0% and 1.6%, of the shares outstanding, respectively.
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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.
Insider Ownership Of Qatar National Bank (Q.P.S.C.)
The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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.
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.
We note our data does not show any board members holding shares, personally. Given we are not picking up on insider ownership, we may have missing data. Therefore, it would be interesting to assess the CEO compensation and tenure, here.
General Public Ownership
The general public, who are usually individual investors, hold a 43% stake in Qatar National Bank (Q.P.S.C.). 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 Qatar National Bank (Q.P.S.C.) better, we need to consider many other factors. Case in point: We've spotted 1 warning sign for Qatar National Bank (Q.P.S.C.) you should be aware of.
But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter 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.
About DSM:QNBK
Qatar National Bank (Q.P.S.C.)
Provides conventional and Islamic banking products and services to individuals and corporates.