Advertisement
U.S. markets open in 5 hours 21 minutes
  • S&P Futures

    5,207.50
    -7.25 (-0.14%)
     
  • Dow Futures

    39,220.00
    -3.00 (-0.01%)
     
  • Nasdaq Futures

    18,177.25
    -54.25 (-0.30%)
     
  • Russell 2000 Futures

    2,046.60
    -3.20 (-0.16%)
     
  • Crude Oil

    82.45
    -0.27 (-0.33%)
     
  • Gold

    2,158.80
    -5.50 (-0.25%)
     
  • Silver

    25.16
    -0.10 (-0.42%)
     
  • EUR/USD

    1.0855
    -0.0021 (-0.20%)
     
  • 10-Yr Bond

    4.3400
    0.0000 (0.00%)
     
  • Vix

    14.51
    +0.18 (+1.26%)
     
  • GBP/USD

    1.2698
    -0.0030 (-0.24%)
     
  • USD/JPY

    150.3620
    +1.2640 (+0.85%)
     
  • Bitcoin USD

    64,321.36
    -3,692.41 (-5.43%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • FTSE 100

    7,722.55
    0.00 (0.00%)
     
  • Nikkei 225

    40,003.60
    +263.20 (+0.66%)
     

What Kind Of Shareholder Appears On The Identiv, Inc.’s (NASDAQ:INVE) Shareholder Register?

Every investor in Identiv, Inc. (NASDAQ:INVE) should be aware of the most powerful shareholder groups. Institutions often own shares in more established companies, while it’s not unusual to see insiders own a fair bit of smaller companies. We also tend to see lower insider ownership in companies that were previously publicly owned.

Identiv is a smaller company with a market capitalization of US$66m, so it may still be flying under the radar of many institutional investors. Our analysis of the ownership of the company, below, shows that institutions own shares in the company. We can zoom in on the different ownership groups, to learn more about INVE.

View our latest analysis for Identiv

NasdaqCM:INVE Ownership Summary December 19th 18
NasdaqCM:INVE Ownership Summary December 19th 18

What Does The Institutional Ownership Tell Us About Identiv?

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.

Identiv already has institutions on the share registry. Indeed, they own 34% of the company. 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 Identiv, (below). Of course, keep in mind that there are other factors to consider, too.

NasdaqCM:INVE Income Statement Export December 19th 18
NasdaqCM:INVE Income Statement Export December 19th 18

We note that hedge funds don’t have a meaningful investment in Identiv. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of Identiv

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.

I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.

Shareholders would probably be interested to learn that insiders own shares in Identiv, Inc.. It has a market capitalization of just US$66m, and insiders have US$1.2m worth of shares, in their own names. It is good to see some investment by insiders, but I usually like to see higher insider holdings. It might be worth checking if those insiders have been buying.

General Public Ownership

The general public, mostly retail investors, hold a substantial 59% stake in INVE, suggesting it is a fairly popular stock. This size of ownership gives retail investors collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.

Private Equity Ownership

Private equity firms hold a 5.1% stake in INVE. This suggests they can be influential in key policy decisions. Some investors might be encouraged by this, since private equity are sometimes able to encourage strategies that help the market see the value in the company. Alternatively, those holders might be exiting the investment after taking it public.

Next Steps:

It’s always worth thinking about the different groups who own shares in a company. But to understand Identiv better, we need to consider many other factors.

Many find it useful to take an in depth look at how a company has performed in the past. You can access this detailed graph of past earnings, revenue and cash flow .

If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its 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.

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.

Advertisement