Institutions own 43% of CAR Group Limited (ASX:CAR) shares, but individual investors control 44% of the company

• The large participation of individual investors in CAR Group suggests that the key decisions are influenced by shareholders from the general public

• The top 25 shareholders own 49% of the company

• Institutions own 43% of CAR Group

If you want to know who really controls CAR Group Limited (ASX:CAR), you’ll need to look at the makeup of its share registry. And the group that holds the biggest piece of the pie is individual investors, with a share of 44%. This means that the group gains the most if the stock goes up (or loses the most if there is a downturn).

Institutions now make up 43% of the company’s shareholders. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies.

Let’s dive deeper into each of CAR Group’s ownership types, starting with the table below.

Check out our latest analysis for CAR Group

Many institutions measure their performance against an index that approximates the local market. That’s why they usually pay more attention to companies that are included in major indices.

We can see that CAR Group has institutional investors; and they hold a majority of the company’s shares. This means 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 fall quickly. It is therefore worth taking a look at CAR Group’s earnings history below. Of course, the future is what really matters.

Hedge funds don’t own many shares in CAR Group. Our data shows that State Street Global Advisors, Inc. is the largest shareholder with 6.0% of shares outstanding. For comparison, the second largest shareholder holds approximately 5.1% of the outstanding shares, followed by the third largest shareholder with 5.1%.

When we examined our ownership data, we found that 25 of the top shareholders collectively own less than 50% of the share register, meaning no single person has a majority stake.

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. There are a fair number of analysts covering the stock, so it might be useful to find out their overall view going forward.

The definition of corporate insiders can be subjective and varies by jurisdiction. Our data reflects individual insiders and captures at least board members. Management ultimately reports to the board of directors. However, it is not uncommon for managers to also be board members, especially if they are a founder or CEO.

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