U.S. markets closed
  • S&P Futures

    3,886.25
    -12.50 (-0.32%)
     
  • Dow Futures

    31,408.00
    -101.00 (-0.32%)
     
  • Nasdaq Futures

    13,251.00
    -28.75 (-0.22%)
     
  • Russell 2000 Futures

    2,260.90
    -13.90 (-0.61%)
     
  • Crude Oil

    59.72
    -0.92 (-1.52%)
     
  • Gold

    1,710.40
    -12.60 (-0.73%)
     
  • Silver

    26.19
    -0.49 (-1.83%)
     
  • EUR/USD

    1.2025
    -0.0035 (-0.29%)
     
  • 10-Yr Bond

    1.4460
    -0.0140 (-0.96%)
     
  • Vix

    23.35
    -4.60 (-16.46%)
     
  • GBP/USD

    1.3878
    -0.0043 (-0.31%)
     
  • USD/JPY

    106.7650
    +0.0350 (+0.03%)
     
  • BTC-USD

    49,214.63
    +2,700.07 (+5.80%)
     
  • CMC Crypto 200

    985.41
    +57.17 (+6.16%)
     
  • FTSE 100

    6,588.53
    +105.10 (+1.62%)
     
  • Nikkei 225

    29,554.75
    -108.75 (-0.37%)
     

Here's What Teekay Corporation's (NYSE:TK) Shareholder Ownership Structure Looks Like

  • Oops!
    Something went wrong.
    Please try again later.
Simply Wall St
·4 min read
  • Oops!
    Something went wrong.
    Please try again later.

A look at the shareholders of Teekay Corporation (NYSE:TK) can tell us which group is most powerful. Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. Companies that have been privatized tend to have low insider ownership.

Teekay is not a large company by global standards. It has a market capitalization of US$221m, 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 take a closer look to see what the different types of shareholders can tell us about Teekay.

Check out our latest analysis for Teekay

ownership-breakdown
ownership-breakdown

What Does The Institutional Ownership Tell Us About Teekay?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

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

earnings-and-revenue-growth
earnings-and-revenue-growth

Institutional investors own over 50% of the company, so together than can probably strongly influence board decisions. Teekay is not owned by hedge funds. Kattegat Limited is currently the largest shareholder, with 32% of shares outstanding. In comparison, the second and third largest shareholders hold about 14% and 2.5% of the stock.

To make our study more interesting, we found that the top 5 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.

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. We're not picking up on any analyst coverage of the stock at the moment, so the company is unlikely to be widely held.

Insider Ownership Of Teekay

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.

Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.

We note our data does not show any board members holding shares, personally. Not all jurisdictions have the same rules around disclosing insider ownership, and it is possible we have missed something, here. So you can click here learn more about the CEO.

General Public Ownership

The general public, with a 35% stake in the company, will not easily be ignored. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.

Next Steps:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. For instance, we've identified 2 warning signs for Teekay (1 is concerning) that you should be aware of.

Of course this may not be the best stock to buy. So take a peek at this free free list of interesting companies.

NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.