A look at the shareholders of Orrstown Financial Services, Inc. (NASDAQ:ORRF) can tell us which group is most powerful. With 48% stake, individual investors possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Institutions, on the other hand, account for 45% of the company's stockholders. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time.

Let's delve deeper into each type of owner of Orrstown Financial Services, beginning with the chart below.

See our latest analysis for Orrstown Financial Services

What Does The Institutional Ownership Tell Us About Orrstown Financial Services?

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 Orrstown Financial Services. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Orrstown Financial Services' earnings history below. Of course, the future is what really matters.

We note that hedge funds don't have a meaningful investment in Orrstown Financial Services. Our data shows that BlackRock, Inc. is the largest shareholder with 6.7% of shares outstanding. The Vanguard Group, Inc. is the second largest shareholder owning 4.9% of common stock, and FMR LLC holds about 4.2% of the company stock. Furthermore, CEO Thomas Quinn is the owner of 0.5% of the company's shares.

On studying our ownership data, we found that 25 of the top shareholders collectively own less than 50% of the share register, implying that no single individual has a majority interest.

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. There is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of Orrstown Financial Services

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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.