City of London Investment Group PLC (LON:CLIG) insiders seem bullish, own 43% and have been buying more recently

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Every investor in City of London Investment Group PLC (LON:CLIG) should be aware of the most powerful shareholder groups. We can see that individual insiders own the lion's share in the company with 43% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

And looking at our data, we can see that insiders have bought shares recently. This could be interpreted as insiders anticipating a rise in stock prices in the near future.

In the chart below, we zoom in on the different ownership groups of City of London Investment Group.

Check out our latest analysis for City of London Investment Group

ownership-breakdown
LSE:CLIG Ownership Breakdown September 21st 2022

What Does The Institutional Ownership Tell Us About City of London Investment Group?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

We can see that City of London Investment Group does have institutional investors; and they hold a good portion of the company's stock. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. 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 City of London Investment Group, (below). Of course, keep in mind that there are other factors to consider, too.

earnings-and-revenue-growth
LSE:CLIG Earnings and Revenue Growth September 21st 2022

Hedge funds don't have many shares in City of London Investment Group. From our data, we infer that the largest shareholder is George Karpus (who also holds the title of Top Key Executive) with 37% of shares outstanding. Its usually considered a good sign when insiders own a significant number of shares in the company, and in this case, we're glad to see a company insider play the role of a key stakeholder. The second and third largest shareholders are Aberforth Partners LLP and Penn Mutual Asset Management, LLC, with an equal amount of shares to their name at 7.2%. In addition, we found that Thomas Griffith, the CEO has 1.0% of the shares allocated to their name.

To make our study more interesting, we found that the top 3 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of the company.

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.