While individual investors own 43% of Qatar National Bank (Q.P.S.C.) (DSM:QNBK), sovereign wealth funds are its largest shareholders with 50% ownership
Key Insights
- The considerable ownership by sovereign wealth funds in Qatar National Bank (Q.P.S.C.) indicates that they collectively have a greater say in management and business strategy
- 50% of the company is held by a single shareholder (Qatar Investment Authority)
- Ownership research along with analyst forecasts data help provide a good understanding of opportunities in a stock
Every investor in Qatar National Bank (Q.P.S.C.) (DSM:QNBK) should be aware of the most powerful shareholder groups. We can see that sovereign wealth funds own the lion's share in the company with 50% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
And individual investors on the other hand have a 43% ownership in the company.
Let's delve deeper into each type of owner of Qatar National Bank (Q.P.S.C.), beginning with the chart below.
Check out 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.)?
Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.
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.
We note that hedge funds don't have a meaningful investment in Qatar National Bank (Q.P.S.C.). Our data shows that Qatar Investment Authority is 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. For context, the second largest shareholder holds about 2.0% of the shares outstanding, followed by an ownership of 1.6% by the third-largest shareholder.
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 Qatar National Bank (Q.P.S.C.)
While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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.
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 data cannot confirm that board members are 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 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.
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. For example, we've discovered 1 warning sign for Qatar National Bank (Q.P.S.C.) that you should be aware of before investing here.
Ultimately the future is most important. You can access this free report on analyst forecasts for the company.
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 in Qatar, Europe, North America, rest of GCC countries, and internationally.
Excellent balance sheet with proven track record and pays a dividend.