Warpaint London PLC (LON:W7L) has caught the attention of institutional investors who hold a sizeable 46% stake

In This Article:

Key Insights

  • Institutions' substantial holdings in Warpaint London implies that they have significant influence over the company's share price

  • The top 3 shareholders own 52% of the company

  • 41% of Warpaint London is held by insiders

To get a sense of who is truly in control of Warpaint London PLC (LON:W7L), it is important to understand the ownership structure of the business. The group holding the most number of shares in the company, around 46% to be precise, is institutions. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

Because institutional owners have a huge pool of resources and liquidity, their investing decisions tend to carry a great deal of weight, especially with individual investors. Hence, having a considerable amount of institutional money invested in a company is often regarded as a desirable trait.

Let's delve deeper into each type of owner of Warpaint London, beginning with the chart below.

Check out our latest analysis for Warpaint London

ownership-breakdown
AIM:W7L Ownership Breakdown December 3rd 2024

What Does The Institutional Ownership Tell Us About Warpaint London?

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.

Warpaint London already has institutions on the share registry. Indeed, they own a respectable stake in the company. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. 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 Warpaint London's earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
AIM:W7L Earnings and Revenue Growth December 3rd 2024

Hedge funds don't have many shares in Warpaint London. With a 21% stake, CEO Samuel Bazini is the largest shareholder. For context, the second largest shareholder holds about 21% of the shares outstanding, followed by an ownership of 11% by the third-largest shareholder. Interestingly, the second-largest shareholder, Eoin MacLeod is also Senior Key Executive, again, pointing towards strong insider ownership amongst the company's top shareholders.

To make our study more interesting, we found that the top 3 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of the company.

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 are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.