Key Insights

• Institutions' substantial holdings in Allianz Malaysia Berhad implies that they have significant influence over the company's share price

• Allianz SE, Insurance Investments owns 65% of the company

• Ownership research along with analyst forecasts data help provide a good understanding of opportunities in a stock

Every investor in Allianz Malaysia Berhad (KLSE:ALLIANZ) should be aware of the most powerful shareholder groups. And the group that holds the biggest piece of the pie are institutions with 83% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

Because institutional owners have a huge pool of resources and liquidity, their investing decisions tend to carry a great deal of weight, especially with individual investors. As a result, a sizeable amount of institutional money invested in a firm is generally viewed as a positive attribute.

Let's take a closer look to see what the different types of shareholders can tell us about Allianz Malaysia Berhad.

See our latest analysis for Allianz Malaysia Berhad

What Does The Institutional Ownership Tell Us About Allianz Malaysia Berhad?

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 Allianz Malaysia Berhad does have institutional investors; and they hold a good portion of the company's stock. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Allianz Malaysia Berhad's earnings history below. Of course, the future is what really matters.

Investors should note that institutions actually own more than half the company, so they can collectively wield significant power. Allianz Malaysia Berhad is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is Allianz SE, Insurance Investments with 65% of shares outstanding. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. Meanwhile, the second and third largest shareholders, hold 6.7% and 3.2%, of the shares outstanding, respectively.

While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.