In This Article:
Key Insights
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DUG Technology's significant retail investors ownership suggests that the key decisions are influenced by shareholders from the larger public
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51% of the business is held by the top 5 shareholders
To get a sense of who is truly in control of DUG Technology Ltd (ASX:DUG), it is important to understand the ownership structure of the business. We can see that retail investors own the lion's share in the company with 35% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
Meanwhile, institutions make up 24% of the company’s shareholders. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders.
Let's take a closer look to see what the different types of shareholders can tell us about DUG Technology.
See our latest analysis for DUG Technology
What Does The Institutional Ownership Tell Us About DUG Technology?
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.
As you can see, institutional investors have a fair amount of stake in DUG Technology. 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. 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 DUG Technology's earnings history below. Of course, the future is what really matters.
Our data indicates that hedge funds own 16% of DUG Technology. That worth noting, since hedge funds are often quite active investors, who may try to influence management. Many want to see value creation (and a higher share price) in the short term or medium term. Regal Partners Limited is currently the largest shareholder, with 16% of shares outstanding. With 15% and 9.9% of the shares outstanding respectively, Perennial Value Management Limited and Matthew Lamont are the second and third largest shareholders. Matthew Lamont, who is the third-largest shareholder, also happens to hold the title of Member of the Board of Directors.
To make our study more interesting, we found that the top 5 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.
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. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.