In This Article:
Key Insights
-
Significant insider control over Merchants Bancorp implies vested interests in company growth
-
The top 9 shareholders own 50% of the company
If you want to know who really controls Merchants Bancorp (NASDAQ:MBIN), then you'll have to look at the makeup of its share registry. And the group that holds the biggest piece of the pie are individual insiders with 38% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
And looking at our data, we can see that insiders have bought shares recently. This could signal that stock prices could go up and insiders are here for it.
Let's delve deeper into each type of owner of Merchants Bancorp, beginning with the chart below.
See our latest analysis for Merchants Bancorp
What Does The Institutional Ownership Tell Us About Merchants Bancorp?
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.
We can see that Merchants Bancorp 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. 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 Merchants Bancorp's earnings history below. Of course, the future is what really matters.
We note that hedge funds don't have a meaningful investment in Merchants Bancorp. The company's CEO Michael Petrie is the largest shareholder with 30% of shares outstanding. With 7.0% and 3.4% of the shares outstanding respectively, Randall Rogers and BlackRock, Inc. are the second and third largest shareholders.
We did some more digging and found that 9 of the top shareholders account for roughly 50% of the register, implying that along with larger shareholders, there are a few smaller shareholders, thereby balancing out each others interests somewhat.
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 Merchants Bancorp
The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.