Every investor in Anebulo Pharmaceuticals, Inc. (NASDAQ:ANEB) should be aware of the most powerful shareholder groups. Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. I generally like to see some degree of insider ownership, even if only a little. As Nassim Nicholas Taleb said, 'Don’t tell me what you think, tell me what you have in your portfolio.

Anebulo Pharmaceuticals is not a large company by global standards. It has a market capitalization of US$174m, which means it wouldn't have the attention of many institutional investors. Our analysis of the ownership of the company, below, shows that institutions are not on the share registry. Let's delve deeper into each type of owner, to discover more about Anebulo Pharmaceuticals.

View our latest analysis for Anebulo Pharmaceuticals

What Does The Lack Of Institutional Ownership Tell Us About Anebulo Pharmaceuticals?

We don't tend to see institutional investors holding stock of companies that are very risky, thinly traded, or very small. Though we do sometimes see large companies without institutions on the register, it's not particularly common.

There could be various reasons why no institutions own shares in a company. Typically, small, newly listed companies don't attract much attention from fund managers, because it would not be possible for large fund managers to build a meaningful position in the company. Alternatively, there might be something about the company that has kept institutional investors away. Anebulo Pharmaceuticals might not have the sort of past performance institutions are looking for, or perhaps they simply have not studied the business closely.

Our data indicates that hedge funds own 14% of Anebulo Pharmaceuticals. That catches my attention because hedge funds sometimes try to influence management, or bring about changes that will create near term value for shareholders. Our data suggests that Joseph Lawler, who is also the company's Top Key Executive, holds the most number of shares at 51%. When an insider holds a sizeable amount of a company's stock, investors consider it as a positive sign because it suggests that insiders are willing to have their wealth tied up in the future of the company. Meanwhile, the second and third largest shareholders, hold 20% and 14%, of the shares outstanding, respectively. In addition, we found that Daniel Schneeberger, the CEO has 4.2% of the shares allocated to their name.

While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track.