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A look at the shareholders of HeidelbergCement India Limited (NSE:HEIDELBERG) can tell us which group is most powerful. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders.
HeidelbergCement India is not a large company by global standards. It has a market capitalization of ₹34.49b, which means it wouldn’t have the attention of many institutional investors. In the chart below below, we can see that institutions own shares in the company. Let’s take a closer look to see what the different types of shareholder can tell us about HEIDELBERG.
Check out our latest analysis for HeidelbergCement India
What Does The Institutional Ownership Tell Us About HeidelbergCement India?
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.
HeidelbergCement India already has institutions on the share registry. Indeed, they own 16.6% 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 HeidelbergCement India’s earnings history, below. Of course, the future is what really matters.
Hedge funds don’t have many shares in HeidelbergCement India. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.
Insider Ownership Of HeidelbergCement India
While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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.
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.
Our data cannot confirm that board members are holding shares personally. It is unusual not to have at least some personal holdings by board members, so our data might be flawed. A good next step would be to check how much the CEO is paid.
General Public Ownership
With a 13.9% ownership, the general public have some degree of sway over HEIDELBERG. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.