If you want to know who really controls Advanced Oncotherapy plc (LON:AVO), then you'll have to look at the makeup of its share registry. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. I generally like to see some degree of insider ownership, even if only a little. As Nassim Nicholas Taleb said, 'Don’t tell me what you think, tell me what you have in your portfolio.
Advanced Oncotherapy is a smaller company with a market capitalization of UK£100m, so it may still be flying under the radar of many institutional investors. Taking a look at our data on the ownership groups (below), it seems that institutions are noticeable on the share registry. Let's delve deeper into each type of owner, to discover more about Advanced Oncotherapy.
Check out our latest analysis for Advanced Oncotherapy
What Does The Institutional Ownership Tell Us About Advanced Oncotherapy?
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.
As you can see, institutional investors have a fair amount of stake in Advanced Oncotherapy. 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. 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 Advanced Oncotherapy, (below). Of course, keep in mind that there are other factors to consider, too.
Hedge funds don't have many shares in Advanced Oncotherapy. Looking at our data, we can see that the largest shareholder is Liquid Harmony Ltd with 15% of shares outstanding. Nerano Capital Ltd is the second largest shareholder owning 7.3% of common stock, and Céleste Management SA holds about 6.5% of the company stock. Additionally, the company's CEO Nicolas Serandour directly holds 0.6% of the total shares outstanding.
On further inspection, we found that more than half the company's shares are owned by the top 9 shareholders, suggesting that the interests of the larger shareholders are balanced out to an extent by the smaller ones.
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 is some analyst coverage of the stock, but it could still become more well known, with time.