Take a look at the shareholders of the Granite Real Estate Investment Fund (TSE: GRT.UN) can tell us which group is the strongest. Large companies usually have institutions as shareholders, and we usually see insiders holding shares in small companies. We also tend to see a smaller share of insider participation in companies that were previously owned by the state.
Granite Real Estate investment fund with a market capitalization of 5.6 billion Canadian dollars is quite large. We expect to see it on the register of institutional investors. Companies of this size are usually well known to retail investors. Taking a look at our ownership group data (below), it appears that institutions are visible on the share register. Let’s take a closer look at what different types of shareholders can tell us about the Granite Real Estate investment trust.
What does institutional ownership tell us about the investment fund Granite Real Estate?
Institutions typically compare themselves to a benchmark when they report to their investors, which is why they are often very enthusiastic about stocks when they are listed on the main index. We expect most companies to have multiple institutions on the register, especially if they are growing.
The investment fund Granite Real Estate already has institutions in the share register. Indeed, they own a substantial stake in the company. This may indicate that the company enjoys a certain amount of credibility in the investment community. However, it is best not to rely on the supposed validation that institutional investors receive. They, too, are sometimes wrong. If several organizations change their view of stocks at the same time, you can see how quickly the stock price falls. It is therefore worth taking a look at the Granite Real Estate Investment Trust’s earnings history below. Of course, the future really matters.
Since institutional investors own more than half of the outstanding shares, the board of directors may have to pay attention to their preferences. Hedge funds don’t have many stocks in the Granite Real Estate Investment Trust. Looking at our data, we can see that the largest shareholder is Connor, Clark & Lunn Investment Management Ltd. with 5.1% of shares outstanding. By comparison, the second and third largest shareholders own approximately 4.7% and 4.3% of the shares.
A deeper look at our ownership data reveals that the top 25 shareholders collectively own less than half of the ledger, suggesting that there is a large minority group where no single shareholder has a majority.
Institutional ownership research is a good way to measure and filter expected stock returns. The same can be achieved by examining the analyst’s sentiment. While there are some analysts out there, the company is probably not as widely reported. So it can get more attention in the future.
Insider ownership of the investment fund Granite Real Estate
The definition of insider may differ slightly from country to country, but board members are always counted. Ultimately, management is accountable to the board of directors. However, managers are often members of the executive board, especially if they are the founder or CEO.
Most consider insider ownership to be a positive thing, as it may indicate that the board is well aligned with other shareholders. However, in some cases, too much power is concentrated within this group.
According to our information, Granite Real Estate Investment Trust insiders own less than 1% of the company. Keep in mind that this is a large company and insiders own $ 11M in shares. The absolute value may be more important than the proportional value. It’s always nice to see at least some of the insider property, but it might be worth checking out if those insiders were selling.
Common state property
With 37% of the shares, the general public has some power over the Granite Real Estate investment trust. While this group may not always be successful, it can certainly have a real impact on the way a company operates.
While the various groups that own the company are worth considering, there are other factors that are even more important. Case in point: we noticed 3 warning signs for the investment fund Granite Real Estate you should know and one of them is a little nasty.
If you are like me, you might be wondering if this company will grow or shrink. Fortunately, you can check this free report showing analyst predictions for the future…
NB: The figures in this article are calculated using data from the last twelve months, which refers to a 12-month period ending on the last day of the month in which the financial statement is dated. This may not be consistent with the full year annual report.
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