U.S. Markets open in 31 mins
  • S&P Futures

    3,437.00
    +14.25 (+0.42%)
     
  • Dow Futures

    28,218.00
    +118.00 (+0.42%)
     
  • Nasdaq Futures

    11,684.00
    +33.75 (+0.29%)
     
  • Russell 2000 Futures

    1,623.30
    +12.00 (+0.74%)
     
  • Crude Oil

    40.60
    -0.23 (-0.56%)
     
  • Gold

    1,908.70
    -3.00 (-0.16%)
     
  • Silver

    24.77
    +0.07 (+0.29%)
     
  • EUR/USD

    1.1813
    +0.0040 (+0.3426%)
     
  • 10-Yr Bond

    0.7870
    +0.0260 (+3.42%)
     
  • Vix

    28.84
    +1.43 (+5.22%)
     
  • GBP/USD

    1.2930
    -0.0011 (-0.0840%)
     
  • USD/JPY

    105.7090
    +0.2790 (+0.2646%)
     
  • BTC-USD

    11,863.48
    +806.47 (+7.29%)
     
  • CMC Crypto 200

    239.21
    +5.54 (+2.37%)
     
  • FTSE 100

    5,897.70
    +13.05 (+0.22%)
     
  • Nikkei 225

    23,567.04
    -104.09 (-0.44%)
     

What Kind Of Investors Own Most Of SunOpta Inc. (TSE:SOY)?

Simply Wall St
·4 mins read

The big shareholder groups in SunOpta Inc. (TSE:SOY) have power over the company. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. Companies that have been privatized tend to have low insider ownership.

SunOpta is not a large company by global standards. It has a market capitalization of CA$748m, which means it wouldn't have the attention of many institutional investors. Taking a look at our data on the ownership groups (below), it's seems that institutional investors have bought into the company. Let's take a closer look to see what the different types of shareholder can tell us about SunOpta.

Check out our latest analysis for SunOpta

ownership-breakdown
ownership-breakdown

What Does The Institutional Ownership Tell Us About SunOpta?

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.

As you can see, institutional investors have a fair amount of stake in SunOpta. 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 SunOpta's earnings history, below. Of course, the future is what really matters.

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

Our data indicates that hedge funds own 33% of SunOpta. That catches my attention because hedge funds sometimes try to influence management, or bring about changes that will create near term value for shareholders. Looking at our data, we can see that the largest shareholder is Ardsley Advisory Partners with 13% of shares outstanding. For context, the second largest shareholder holds about 11% of the shares outstanding, followed by an ownership of 9.1% by the third-largest shareholder. Additionally, the company's CEO Joseph Ennen directly holds 0.0053585 of the total shares outstanding.

We also observed that the top 7 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.

While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of SunOpta

The definition of company insiders can be subjective, and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. 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.

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.

I can report that insiders do own shares in SunOpta Inc.. As individuals, the insiders collectively own CA$30m worth of the CA$748m company. This shows at least some alignment. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public holds a 23% stake in SOY. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand SunOpta better, we need to consider many other factors. To that end, you should be aware of the 1 warning sign we've spotted with SunOpta .

But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter future.

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.