This is what the shareholding structure of Titan Cement International SA (ATH:TITC) looks like

If you want to know who actually controls Titan Cement International SA (ATH:TITC), you will need to look at the composition of its share register. Insiders often own a large portion of younger, smaller companies, while larger companies tend to have institutions as shareholders. I generally like to see some degree of insider ownership, even if only a little. As Nassim Nicholas Taleb said, “Don’t tell me what you think, tell me what you have in your wallet”.

Titan Cement International isn’t huge, but it’s not particularly small either. It has a market capitalization of 970 million euros, which means that it generally expects to see certain institutions listed on the share register. Our analysis of company ownership, below, shows that institutional investors have bought the company. Let’s dig deeper into each type of owner to learn more about Titan Cement International.

Check out our latest analysis for Titan Cement International

ATSE: TITC Ownership Breakdown February 25, 2022

What does institutional ownership tell us about Titan Cement International?

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.

We can see that Titan Cement International has institutional investors; and they own a good part of the shares of the company. This implies that analysts working for these institutions have reviewed the stock and like it. But like everyone else, they can be wrong. If multiple institutions change their minds on a stock at the same time, you could see the stock price drop quickly. So it is worth checking out the profit history of Titan Cement International below. Of course, the future is what really matters.

ATSE: TITC Earnings and Revenue Growth February 25, 2022

We note that hedge funds have no significant investment in Titan Cement International. Looking at our data, we can see that the major shareholder is EDYVEM Public Company Ltd with 16% of the outstanding shares. For context, the second shareholder owns approximately 11% of the outstanding shares, followed by an 11% ownership by the third shareholder. Leonidas Canellopoulos, who is the second shareholder, also holds the title of Senior Key Executive. Additionally, we found that Dimitrios Papalexopoulos, the CEO, owns 4.2% of the shares attributed to his name.

Our research also shed light on the fact that approximately 53% of the company is controlled by the top 5 shareholders, suggesting that these owners wield significant influence over the company.

While it makes sense to study data on a company’s institutional ownership, it also makes sense to study analyst sentiment to find out which way the wind is blowing. There are plenty of analysts covering the stock, so it might be interesting to see what they are predicting as well.

Insider Ownership of Titan Cement International

The definition of an insider may differ slightly from country to country, but board members still matter. The management of the company answers to the board of directors and the latter must represent the interests of the shareholders. In particular, sometimes the senior executives themselves sit on the board of directors.

Insider ownership is positive when it signals that executives think like the true owners of the company. However, strong insider ownership can also give immense power to a small group within the company. This can be negative in certain circumstances.

It appears that insiders own a large share of Titan Cement International SA. It has a market capitalization of just €970 million and insiders hold €231 million worth of shares in their own name. It is quite significant. Most would say this shows a good degree of alignment with shareholders, especially in a company of this size. You can click here to see if these insiders have been buying or selling.

General public property

With a 26% stake, the general public, consisting mainly of individual investors, has some influence over Titan Cement International. While this size of ownership may not be enough to sway a policy decision in their favor, they can still have a collective impact on company policies.

Private Company Ownership

Our data indicates that private companies own 16% of the company’s shares. It might be worth exploring this further. If related parties, such as insiders, have an interest in any of these private companies, this should be disclosed in the annual report. Private companies may also have a strategic interest in the company.

Next steps:

While it is worth considering the different groups that own a business, there are other, even more important factors. For example, we have identified 4 warning signs for Titan Cement International of which you should be aware.

If you’re like me, you might want to ask yourself if this business will grow or shrink. Luckily, you can check out this free report showing analyst predictions for its future.

NB: The figures in this article are calculated using trailing twelve month data, which refers to the 12 month period ending on the last day of the month in which the financial statements are dated. This may not be consistent with the annual report figures for the full year.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.

Comments are closed.