UK Markets closed
  • FTSE 100

    7,083.37
    +102.39 (+1.47%)
     
  • FTSE 250

    23,784.54
    +173.15 (+0.73%)
     
  • AIM

    1,268.13
    +8.00 (+0.63%)
     
  • GBP/EUR

    1.1642
    -0.0005 (-0.04%)
     
  • GBP/USD

    1.3619
    -0.0045 (-0.3282%)
     
  • BTC-GBP

    30,990.23
    -1,905.68 (-5.79%)
     
  • CMC Crypto 200

    1,089.55
    +49.07 (+4.72%)
     
  • S&P 500

    4,395.64
    +41.45 (+0.95%)
     
  • DOW

    34,258.32
    +338.48 (+1.00%)
     
  • CRUDE OIL

    70.51
    -0.05 (-0.07%)
     
  • GOLD FUTURES

    1,768.40
    -9.80 (-0.55%)
     
  • NIKKEI 225

    29,639.40
    -200.31 (-0.67%)
     
  • HANG SENG

    24,221.54
    +122.40 (+0.51%)
     
  • DAX

    15,506.74
    +158.21 (+1.03%)
     
  • CAC 40

    6,637.00
    +84.27 (+1.29%)
     

What Type Of Shareholders Own The Most Number of Evolve Education Group Limited (NZSE:EVO) Shares?

  • Oops!
    Something went wrong.
    Please try again later.
·4-min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.

The big shareholder groups in Evolve Education Group Limited (NZSE:EVO) have power over the company. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. Warren Buffett said that he likes "a business with enduring competitive advantages that is run by able and owner-oriented people." So it's nice to see some insider ownership, because it may suggest that management is owner-oriented.

Evolve Education Group is a smaller company with a market capitalization of NZ$185m, so it may still be flying under the radar of many institutional investors. Our analysis of the ownership of the company, below, shows that institutions are noticeable on the share registry. Let's delve deeper into each type of owner, to discover more about Evolve Education Group.

View our latest analysis for Evolve Education Group

ownership-breakdown
ownership-breakdown

What Does The Institutional Ownership Tell Us About Evolve Education Group?

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 Evolve Education Group. 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. 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 Evolve Education Group's earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
earnings-and-revenue-growth

Hedge funds don't have many shares in Evolve Education Group. Looking at our data, we can see that the largest shareholder is the CEO Christopher Scott with 19% of shares outstanding. In comparison, the second and third largest shareholders hold about 5.8% and 4.6% of the stock.

We also observed that the top 9 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.

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 a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of Evolve Education Group

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.

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.

It seems insiders own a significant proportion of Evolve Education Group Limited. Insiders own NZ$44m worth of shares in the NZ$185m 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.

General Public Ownership

The general public holds a 35% stake in Evolve Education Group. 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.

Private Company Ownership

We can see that Private Companies own 11%, of the shares on issue. 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 Evolve Education Group better, we need to consider many other factors. For example, we've discovered 1 warning sign for Evolve Education Group that you should be aware of before investing here.

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.

This article by Simply Wall St is general in nature. 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 (at) simplywallst.com.

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting