Is PJSC Russian Aquaculture's (MCX:AQUA) Shareholder Ownership Skewed Towards Insiders?

A look at the shareholders of PJSC Russian Aquaculture (MCX:AQUA) can tell us which group is most powerful. Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. I quite like to see at least a little bit of insider ownership. As Charlie Munger said 'Show me the incentive and I will show you the outcome.

PJSC Russian Aquaculture is not a large company by global standards. It has a market capitalization of ₽21b, which means it wouldn't have the attention of many institutional investors. Taking a look at our data on the ownership groups (below), it seems that institutions own shares in the company. Let's delve deeper into each type of owner, to discover more about PJSC Russian Aquaculture.

See our latest analysis for PJSC Russian Aquaculture

What Does The Institutional Ownership Tell Us About PJSC Russian Aquaculture?

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.

We can see that PJSC Russian Aquaculture does have institutional investors; and they hold a good portion of the company's stock. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 PJSC Russian Aquaculture's earnings history below. Of course, the future is what really matters.

We note that hedge funds don't have a meaningful investment in PJSC Russian Aquaculture. Looking at our data, we can see that the largest shareholder is Maxim Vorobyev with 48% of shares outstanding. For context, the second largest shareholder holds about 25% of the shares outstanding, followed by an ownership of 9.5% by the third-largest shareholder. Additionally, the company's CEO Ilya Sosnov directly holds 1.7% of the total shares outstanding.

To make our study more interesting, we found that the top 2 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of the company.

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. As far I can tell there isn't analyst coverage of the company, so it is probably flying under the radar.

Insider Ownership Of PJSC Russian Aquaculture

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. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.

Our most recent data indicates that insiders own the majority of PJSC Russian Aquaculture. This means they can collectively make decisions for the company. That means they own ₽11b worth of shares in the ₽21b company. That's quite meaningful. It is good to see this level of investment. You can check here to see if those insiders have been buying recently.

General Public Ownership

The general public holds a 12% stake in PJSC Russian Aquaculture. 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.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Case in point: We've spotted 3 warning signs for PJSC Russian Aquaculture you should be aware of.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

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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