Yahoo Finance Private companies own 29% of Centaurus Metals Limited (ASX:CTM) shares but retail investors control 50% of the company
Key Insights
The considerable ownership by retail investors in Centaurus Metals indicates that they collectively have a greater say in management and business strategy
A total of 23 investors have a majority stake in the company with 50% ownership
A look at the shareholders of Centaurus Metals Limited (ASX:CTM) can tell us which group is most powerful. With 50% stake, retail investors possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
Meanwhile, private companies make up 29% of the company’s shareholders.
Let's delve deeper into each type of owner of Centaurus Metals, beginning with the chart below.
Check out our latest analysis for Centaurus Metals
What Does The Institutional Ownership Tell Us About Centaurus Metals?
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.
We can see that Centaurus Metals 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. 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 Centaurus Metals' earnings history below. Of course, the future is what really matters.
Centaurus Metals is not owned by hedge funds. Our data shows that Mccusker Holdings Pty. Ltd. is the largest shareholder with 12% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 7.2% and 5.0%, of the shares outstanding, respectively. Furthermore, CEO Darren Gordon is the owner of 1.5% of the company's shares.
Looking at the shareholder registry, we can see that 50% of the ownership is controlled by the top 23 shareholders, meaning that no single shareholder has a majority interest in the ownership.
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 Centaurus Metals
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.
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.
We can report that insiders do own shares in Centaurus Metals Limited. It has a market capitalization of just AU$198m, and insiders have AU$18m worth of shares, in their own names. It is good to see some investment by insiders, but we usually like to see higher insider holdings. It might be worth checking if those insiders have been buying.
General Public Ownership
The general public, who are usually individual investors, hold a 50% stake in Centaurus Metals. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Private Company Ownership
Our data indicates that Private Companies hold 29%, of the company's shares. 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:
While it is well worth considering the different groups that own a company, there are other factors that are even more important. For instance, we've identified 4 warning signs for Centaurus Metals (1 is potentially serious) that you should be aware of.
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.
