Ascent Industries Co. (NASDAQ:ACNT) most popular amongst retail investors who own 60% of the shares, institutions hold 23%
Key Insights
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The considerable ownership by retail investors in Ascent Industries indicates that they collectively have a greater say in management and business strategy
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The top 25 shareholders own 40% of the company
If you want to know who really controls Ascent Industries Co. (NASDAQ:ACNT), then you'll have to look at the makeup of its share registry. And the group that holds the biggest piece of the pie are retail investors with 60% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
Meanwhile, institutions make up 23% of the company’s shareholders. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders.
In the chart below, we zoom in on the different ownership groups of Ascent Industries.
See our latest analysis for Ascent Industries
What Does The Institutional Ownership Tell Us About Ascent Industries?
Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.
As you can see, institutional investors have a fair amount of stake in Ascent Industries. 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 Ascent Industries' earnings history below. Of course, the future is what really matters.
Our data indicates that hedge funds own 5.1% of Ascent Industries. That's interesting, because hedge funds can be quite active and activist. Many look for medium term catalysts that will drive the share price higher. The company's largest shareholder is Union Partners I LLC, with ownership of 7.7%. In comparison, the second and third largest shareholders hold about 5.1% and 4.2% of the stock. Additionally, the company's CEO Christopher Hutter directly holds 2.1% of the total shares outstanding.
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. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track.