To get a sense of who is truly in control of PYC Therapeutics Limited (ASX:PYC), it is important to understand the ownership structure of the business. With 50% stake, individual insiders 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). So, insiders of PYC Therapeutics have a lot at stake and every decision they make on the company’s future is important to them from a financial point of view. In the chart below, we zoom in on the different ownership groups of PYC Therapeutics. See our latest analysis for PYC Therapeutics ownership-breakdown What Does The Institutional Ownership Tell Us About PYC Therapeutics? 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. Since institutions own only a small portion of PYC Therapeutics, many may not have spent much time considering the stock. But it's clear that some have; and they liked it enough to buy in. If the business gets stronger from here, we could see a situation where more institutions are keen to buy. It is not uncommon to see a big share price rise if multiple institutional investors are trying to buy into a stock at the same time. So check out the historic earnings trajectory, below, but keep in mind it's the future that counts most. earnings-and-revenue-growth We note that hedge funds don't have a meaningful investment in PYC Therapeutics. The company's largest shareholder is Alan Tribe, with ownership of 31%. With 6.4% and 5.4% of the shares outstanding respectively, Bernard Hockings and Mccusker Holdings Pty. Ltd. are the second and third largest shareholders. Our research also brought to light the fact that roughly 53% of the company is controlled by the top 5 shareholders suggesting that these owners wield significant influence on the business. 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. Insider Ownership Of PYC Therapeutics The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it. 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 the majority of PYC Therapeutics Limited. This means they can collectively make decisions for the company. Given it has a market cap of AU$194m, that means they have AU$98m worth of shares. Most would be pleased to see the board is investing alongside them. You may wish todiscover (for free) if they have been buying or selling. General Public Ownership The general public, who are usually individual investors, hold a 32% stake in PYC Therapeutics. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies. Private Company Ownership It seems that Private Companies own 17%, of the PYC Therapeutics stock. 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: I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. To that end, you should learn about the 2 warning signs we've spotted with PYC Therapeutics (including 1 which doesn't sit too well with us) . If you would prefer discover what analysts are predicting in terms of future growth, do not miss this freereport on analyst forecasts. 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. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. 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. Join A Paid User Research Session You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
Owning 50% in PYC Therapeutics Limited (ASX:PYC) means that insiders are heavily invested in the company's future
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