Advertisement
Australia markets close in 6 hours
  • ALL ORDS

    7,898.90
    +37.90 (+0.48%)
     
  • ASX 200

    7,642.10
    +36.50 (+0.48%)
     
  • AUD/USD

    0.6419
    -0.0006 (-0.10%)
     
  • OIL

    82.64
    -0.09 (-0.11%)
     
  • GOLD

    2,393.80
    -4.20 (-0.18%)
     
  • Bitcoin AUD

    98,301.29
    +2,966.94 (+3.11%)
     
  • CMC Crypto 200

    1,310.99
    +425.46 (+48.07%)
     
  • AUD/EUR

    0.6032
    +0.0001 (+0.01%)
     
  • AUD/NZD

    1.0878
    +0.0003 (+0.02%)
     
  • NZX 50

    11,809.25
    -26.79 (-0.23%)
     
  • NASDAQ

    17,394.31
    -99.31 (-0.57%)
     
  • FTSE

    7,877.05
    +29.06 (+0.37%)
     
  • Dow Jones

    37,775.38
    +22.07 (+0.06%)
     
  • DAX

    17,837.40
    +67.38 (+0.38%)
     
  • Hang Seng

    16,385.87
    +134.03 (+0.82%)
     
  • NIKKEI 225

    38,079.70
    0.00 (0.00%)
     

What Kind Of Shareholders Own SVMK Inc. (NASDAQ:SVMK)?

Every investor in SVMK Inc. (NASDAQ:SVMK) should be aware of the most powerful shareholder groups. Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. Warren Buffett said that he likes 'a business with enduring competitive advantages that is run by able and owner-oriented people'. So it's nice to see some insider ownership, because it may suggest that management is owner-oriented.

With a market capitalization of US$2.4b, SVMK is a decent size, so it is probably on the radar of institutional investors. In the chart below below, we can see that institutions own shares in the company. Let's delve deeper into each type of owner, to discover more about SVMK.

See our latest analysis for SVMK

NasdaqGS:SVMK Ownership Summary, August 16th 2019
NasdaqGS:SVMK Ownership Summary, August 16th 2019

What Does The Institutional Ownership Tell Us About SVMK?

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.

ADVERTISEMENT

We can see that SVMK does have institutional investors; and they hold 48% of the 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. 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 SVMK's earnings history, below. Of course, the future is what really matters.

NasdaqGS:SVMK Income Statement, August 16th 2019
NasdaqGS:SVMK Income Statement, August 16th 2019

It looks like hedge funds own 17% of SVMK shares. That worth noting, since hedge funds are often quite active investors, who may try to influence management. Many want to see value creation (and a higher share price) in the short term or medium term. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of SVMK

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.

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 information suggests that insiders maintain a significant holding in SVMK Inc.. It has a market capitalization of just US$2.4b, and insiders have US$380m worth of shares in their own names. That's quite significant. 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

With a 16% ownership, the general public have some degree of sway over SVMK. 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 SVMK better, we need to consider many other factors.

I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.

If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.

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.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.