Both individual investors who control a good portion of Centuria Capital Group (ASX:CNI) along with institutions must be dismayed after last week's 4.3% decrease

Key Insights

• Centuria Capital Group's significant individual investors ownership suggests that the key decisions are influenced by shareholders from the larger public
• A total of 25 investors have a majority stake in the company with 44% ownership
• 31% of Centuria Capital Group is held by Institutions

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To get a sense of who is truly in control of Centuria Capital Group (ASX:CNI), it is important to understand the ownership structure of the business. With 55% stake, individual investors possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

While institutions who own 31% came under pressure after market cap dropped to AU$1.8b last week,individual investors took the most losses.

Let's take a closer look to see what the different types of shareholders can tell us about Centuria Capital Group.

Check out our latest analysis for Centuria Capital Group

What Does The Institutional Ownership Tell Us About Centuria Capital Group?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

We can see that Centuria Capital Group does have institutional investors; and they hold a good portion of the company's stock. 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 Centuria Capital Group's earnings history below. Of course, the future is what really matters.

We note that hedge funds don't have a meaningful investment in Centuria Capital Group. The Vanguard Group, Inc. is currently the largest shareholder, with 9.2% of shares outstanding. With 6.0% and 5.0% of the shares outstanding respectively, Yarra Funds Management Limited and State Street Global Advisors, Inc. are the second and third largest shareholders. Furthermore, CEO John McBain is the owner of 1.0% of the company's shares.

On studying our ownership data, we found that 25 of the top shareholders collectively own less than 50% of the share register, implying that no single individual has a majority interest.

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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Centuria Capital Group

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.

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 most recent data indicates that insiders own some shares in Centuria Capital Group. The insiders have a meaningful stake worth AU$123m. Most would see this as a real positive. If you would like to explore the question of insider alignment, you can click here to see if insiders have been buying or selling.

General Public Ownership

The general public -- including retail investors -- own 55% of Centuria Capital Group. With this amount of ownership, retail investors can collectively play a role in decisions that affect shareholder returns, such as dividend policies and the appointment of directors. They can also exercise the power to vote on acquisitions or mergers that may not improve profitability.

Private Company Ownership

We can see that Private Companies own 7.6%, of the shares on issue. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Centuria Capital Group better, we need to consider many other factors. Case in point: We've spotted 1 warning sign for Centuria Capital Group you should be aware of.

Ultimately the future is most important. You can access this free report on analyst forecasts for the company.

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.