Jarir Marketing Company's (TADAWUL:4190) largest shareholders are retail investors with 60% ownership, private companies own 22%

Key Insights

• Significant control over Jarir Marketing by retail investors implies that the general public has more power to influence management and governance-related decisions
• A total of 25 investors have a majority stake in the company with 39% ownership
• Using data from analyst forecasts alongside ownership research, one can better assess the future performance of a company

Every investor in Jarir Marketing Company (TADAWUL:4190) should be aware of the most powerful shareholder groups. We can see that retail investors own the lion's share in the company with 60% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

Private companies, on the other hand, account for 22% of the company's stockholders.

Let's take a closer look to see what the different types of shareholders can tell us about Jarir Marketing.

See our latest analysis for Jarir Marketing

What Does The Institutional Ownership Tell Us About Jarir Marketing?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

We can see that Jarir Marketing does have institutional investors; and they hold a good portion of the company's stock. 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 Jarir Marketing, (below). Of course, keep in mind that there are other factors to consider, too.

Jarir Marketing is not owned by hedge funds. Our data shows that Jarir Company For Commercial Investments is the largest shareholder with 22% of shares outstanding. With 4.8% and 3.2% of the shares outstanding respectively, General Organization for Social Insurance and Abdulkareem Bin Al-Agil are the second and third largest shareholders. Abdulkareem Bin Al-Agil, who is the third-largest shareholder, also happens to hold the title of Vice Chairman.

Our studies suggest that the top 25 shareholders collectively control less than half of the company's shares, meaning that the company's shares are widely disseminated and there is no dominant shareholder.

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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Jarir Marketing

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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.

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.

Shareholders would probably be interested to learn that insiders own shares in Jarir Marketing Company. The insiders have a meaningful stake worth ر.س873m. Most would see this as a real positive. It is good to see this level of investment by insiders. You can check here to see if those insiders have been buying recently.

General Public Ownership

The general public -- including retail investors -- own 60% of Jarir Marketing. This size of ownership gives investors from the general public some collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.

Private Company Ownership

It seems that Private Companies own 22%, of the Jarir Marketing stock. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Jarir Marketing better, we need to consider many other factors. For example, we've discovered 1 warning sign for Jarir Marketing that you should be aware of before investing here.

If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its 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.