Yahoo Finance With 64% ownership, Costamare Inc. (NYSE:CMRE) insiders have a lot riding on the company's future
Key Insights
Significant insider control over Costamare implies vested interests in company growth
A total of 3 investors have a majority stake in the company with 64% ownership
If you want to know who really controls Costamare Inc. (NYSE:CMRE), then you'll have to look at the makeup of its share registry. We can see that individual insiders own the lion's share in the company with 64% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
So it follows, every decision made by insiders of Costamare regarding the company's future would be crucial to them.
Let's delve deeper into each type of owner of Costamare, beginning with the chart below.
See our latest analysis for Costamare
What Does The Institutional Ownership Tell Us About Costamare?
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.
As you can see, institutional investors have a fair amount of stake in Costamare. 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 Costamare's earnings history below. Of course, the future is what really matters.
Hedge funds don't have many shares in Costamare. With a 31% stake, CEO Konstantinos Konstantakopoulos is the largest shareholder. For context, the second largest shareholder holds about 17% of the shares outstanding, followed by an ownership of 16% by the third-largest shareholder.
To make our study more interesting, we found that the top 3 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of the company.
Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.
Insider Ownership Of Costamare
The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.
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.
Our information suggests that insiders own more than half of Costamare Inc.. This gives them effective control of the company. Given it has a market cap of US$1.3b, that means insiders have a whopping US$801m worth of shares in their own names. Most would argue this is a positive, showing strong alignment with shareholders. You can click here to see if they have been selling down their stake.
General Public Ownership
The general public, who are usually individual investors, hold a 11% stake in Costamare. 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:
It's always worth thinking about the different groups who own shares in a company. But to understand Costamare better, we need to consider many other factors. Like risks, for instance. Every company has them, and we've spotted 4 warning signs for Costamare (of which 1 is a bit unpleasant!) you should know about.
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.
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