The big shareholder groups in Vista Oil & Gas, S.A.B. de C.V. (BMV:VISTAA) have power over the company. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. We also tend to see lower insider ownership in companies that were previously publicly owned.
Vista Oil & Gas. de is not a large company by global standards. It has a market capitalization of Mex$5.5b, which means it wouldn’t have the attention of many institutional investors. Taking a look at our data on the ownership groups (below), it seems that institutions are noticeable on the share registry. We can zoom in on the different ownership groups, to learn more about Vista Oil & Gas. de.
What Does The Institutional Ownership Tell Us About Vista Oil & Gas. de?
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.
Vista Oil & Gas. de already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Vista Oil & Gas. de, (below). Of course, keep in mind that there are other factors to consider, too.
We note that hedge funds don’t have a meaningful investment in Vista Oil & Gas. de. Our data shows that Vista Sponsor Holdings, L.P. is the largest shareholder with 15% of shares outstanding. The second and third largest shareholders are Abu Dhabi Investment Council and Riverstone Equity Partners, with an equal amount of shares to their name at 14%. Additionally, the company’s CEO Miguel Galuccio directly holds 3.6% of the total shares outstanding.
Our research also brought to light the fact that roughly 52% 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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.
Insider Ownership Of Vista Oil & Gas. de
The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. 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.
Insider ownership is positive when it signals leadership…