What Kind Of Investors Own Most Of EnQuest PLC (LON:ENQ)?

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Every investor in EnQuest PLC (LON:ENQ) should be aware of the most powerful shareholder groups. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. We also tend to see lower insider ownership in companies that were previously publicly owned.

EnQuest is not a large company by global standards. It has a market capitalization of UK£185m, which means it wouldn't have the attention of many institutional investors. Our analysis of the ownership of the company, below, shows that institutions own shares in the company. Let's delve deeper into each type of owner, to discover more about EnQuest.

View our latest analysis for EnQuest

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LSE:ENQ Ownership Breakdown December 22nd 2020

What Does The Institutional Ownership Tell Us About EnQuest?

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.

As you can see, institutional investors have a fair amount of stake in EnQuest. 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 EnQuest, (below). Of course, keep in mind that there are other factors to consider, too.

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LSE:ENQ Earnings and Revenue Growth December 22nd 2020

Institutional investors own over 50% of the company, so together than can probably strongly influence board decisions. EnQuest is not owned by hedge funds. Double A Ltd is currently the largest shareholder, with 9.8% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 8.1% and 6.8%, of the shares outstanding, respectively.

Looking at the shareholder registry, we can see that 51% of the ownership is controlled by the top 15 shareholders, meaning that no single shareholder has a majority interest in the ownership.

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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of EnQuest

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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.