Yahoo Finance Betterware de México, S.A.P.I. de C.V.'s (NYSE:BWMX) largest shareholders are private companies with 54% ownership, individual investors own 33%
Key Insights
Betterware de MéxicoP.I. de's significant private companies ownership suggests that the key decisions are influenced by shareholders from the larger public
The largest shareholder of the company is Campalier, S.A. de C.V. with a 54% stake
Institutional ownership in Betterware de MéxicoP.I. de is 13%
If you want to know who really controls Betterware de México, S.A.P.I. de C.V. (NYSE:BWMX), then you'll have to look at the makeup of its share registry. The group holding the most number of shares in the company, around 54% to be precise, is private companies. Put another way, the group faces the maximum upside potential (or downside risk).
Individual investors, on the other hand, account for 33% of the company's stockholders.
Let's delve deeper into each type of owner of Betterware de MéxicoP.I. de, beginning with the chart below.
Check out our latest analysis for Betterware de MéxicoP.I. de
What Does The Institutional Ownership Tell Us About Betterware de MéxicoP.I. de?
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.
As you can see, institutional investors have a fair amount of stake in Betterware de MéxicoP.I. de. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Betterware de MéxicoP.I. de, (below). Of course, keep in mind that there are other factors to consider, too.
Betterware de MéxicoP.I. de is not owned by hedge funds. The company's largest shareholder is Campalier, S.A. de C.V., with ownership of 54%. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. In comparison, the second and third largest shareholders hold about 11% and 0.4% of the stock.
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. 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 Betterware de MéxicoP.I. de
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. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.
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. Given we are not picking up on insider ownership, we may have missing data. Therefore, it would be interesting to assess the CEO compensation and tenure, here.
General Public Ownership
With a 33% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Betterware de MéxicoP.I. de. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.
Private Company Ownership
It seems that Private Companies own 54%, of the Betterware de MéxicoP.I. de stock. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand Betterware de MéxicoP.I. de better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 2 warning signs for Betterware de MéxicoP.I. de you should know about.
If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
