Could V.S.T. Tillers Tractors Limited's (NSE:VSTTILLERS) Investor Composition Influence The Stock Price?

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If you want to know who really controls V.S.T. Tillers Tractors Limited (NSE:VSTTILLERS), then you'll have to look at the makeup of its share registry. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. 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.'

With a market capitalization of ₹8.1b, V.S.T. Tillers Tractors is a small cap stock, so it might not be well known by many institutional investors. Our analysis of the ownership of the company, below, shows that institutional investors have bought into the company. We can zoom in on the different ownership groups, to learn more about VSTTILLERS.

See our latest analysis for V.S.T. Tillers Tractors

NSEI:VSTTILLERS Ownership Summary, August 27th 2019
NSEI:VSTTILLERS Ownership Summary, August 27th 2019

What Does The Institutional Ownership Tell Us About V.S.T. Tillers Tractors?

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.

V.S.T. Tillers Tractors already has institutions on the share registry. Indeed, they own 22% of the company. 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 V.S.T. Tillers Tractors's earnings history, below. Of course, the future is what really matters.

NSEI:VSTTILLERS Income Statement, August 27th 2019
NSEI:VSTTILLERS Income Statement, August 27th 2019

Hedge funds don't have many shares in V.S.T. Tillers Tractors. There is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of V.S.T. Tillers Tractors

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. 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.

It seems insiders own a significant proportion of V.S.T. Tillers Tractors Limited. Insiders own ₹3.6b worth of shares in the ₹8.1b company. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.