A look at the shareholders of Transformers & Rectifiers (India) Limited (NSE:TRIL) can tell us which group is most powerful. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. 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.’

Transformers & Rectifiers (India) is a smaller company with a market capitalization of ₹2.43b, so it may still be flying under the radar of many institutional investors. In the chart below below, we can see that institutions are not really that prevalent on the share registry. Let’s delve deeper into each type of owner, to discover more about TRIL.

View our latest analysis for Transformers & Rectifiers (India)

What Does The Institutional Ownership Tell Us About Transformers & Rectifiers (India)?

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.

Since institutions own under 5% of Transformers & Rectifiers (India), many may not have spent much time considering the stock. But it’s clear that some have; and they liked it enough to buy in. So if the company itself can improve over time, we may well see more institutional buyers in the future. When multiple institutional investors want to buy shares, we often see a rising share price. The past revenue trajectory (shown below) can be an indication of future growth, but there are no guarantees.

We note that hedge funds don’t have a meaningful investment in Transformers & Rectifiers (India). There is some analyst coverage of the stock, but it could still become more well known, with time.

Insider Ownership Of Transformers & Rectifiers (India)

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.

Our most recent data indicates that insiders own the majority of Transformers & Rectifiers (India) Limited. This means they can collectively make decisions for the company. Given it has a market cap of ₹2.43b, that means they have ₹1.86b worth of shares. It is good to see this level of investment. You can check here to see if those insiders have been buying recently.