Significant control over Olympia Financial Group by individual investors implies that the general public has more power to influence management and governance-related decisions
The top 16 shareholders own 36% of the company
Using data from company's past performance alongside ownership research, one can better assess the future performance of a company
If you want to know who really controls Olympia Financial Group Inc. ( TSE:OLY ), then you'll have to look at the makeup of its share registry. We can see that individual investors own the lion's share in the company with 64% ownership.Put another way, the group faces the maximum upside potential (or downside risk).
As a result, individual investors were the biggest beneficiaries of last week’s 18% gain.
Let's delve deeper into each type of owner of Olympia Financial Group, beginning with the chart below.
What Does The Institutional Ownership Tell Us About Olympia Financial Group?
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.
Less than 5% of Olympia Financial Group is held by institutional investors. This suggests that some funds have the company in their sights, but many have not yet bought shares in it.If the company is growing earnings, that may indicate that it is just beginning to catch the attention of these deep-pocketed investors.We sometimes see a rising share price when a few big institutions want to buy a certain stock at the same time. The history of earnings and revenue, which you can see below, could be helpful in considering if more institutional investors will want the stock. Of course, there are plenty of other factors to consider, too.
TSX:OLY Earnings and Revenue Growth August 15th 2023
Hedge funds don't have many shares in Olympia Financial Group.Looking at our data, we can see that the largest shareholder is Tarman Inc. with 25% of shares outstanding.In comparison, the second and third largest shareholders hold about 4.1% and 3.3% of the stock.Note that the second and third-largest shareholders are also Chief Executive Officer and Member of the Board of Directors, respectively, meaning that the company's top shareholders are insiders.
On studying our ownership data, we found that 16 of the top shareholders collectively own less than 50% of the share register, implying that no single individual has a majority interest.
While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance.As far as we can tell there isn't analyst coverage of the company, so it is probably flying under the radar.
Insider Ownership Of Olympia Financial Group
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.
Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.
We can see that insiders own shares in Olympia Financial Group Inc..It has a market capitalization of just CA$207m, and insiders have CA$18m worth of shares, in their own names. This shows at least some alignment, but we usually like to see larger insider holdings. You can click here to see if those insiders have been buying or selling.
General Public Ownership
The general public, mostly comprising of individual investors, collectively holds 64% of Olympia Financial Group shares. This level of ownership gives investors from the wider public some power to sway key policy decisions such as board composition, executive compensation, and the dividend payout ratio.
Private Company Ownership
Our data indicates that Private Companies hold 26%, of the company's shares. Private companies may be related parties. Sometimes insiders have an interest in a public company through a holding in a private company, rather than in their own capacity as an individual. While it's hard to draw any broad stroke conclusions, it is worth noting as an area for further research.
Next Steps:
I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Case in point: We've spotted 2 warning signs for Olympia Financial Group you should be aware of, and 1 of them is a bit concerning.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this freelist of interesting companies.
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.
Simply Wall St analyst Simply Wall St and Simply Wall St have no position in any of the companies mentioned. This article 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.
