Advertisement
U.S. markets open in 4 hours 49 minutes
  • S&P Futures

    5,305.75
    -2.50 (-0.05%)
     
  • Dow Futures

    40,129.00
    -15.00 (-0.04%)
     
  • Nasdaq Futures

    18,496.75
    -7.00 (-0.04%)
     
  • Russell 2000 Futures

    2,133.60
    -4.80 (-0.22%)
     
  • Crude Oil

    81.79
    +0.44 (+0.54%)
     
  • Gold

    2,214.50
    +1.80 (+0.08%)
     
  • Silver

    24.55
    -0.20 (-0.82%)
     
  • EUR/USD

    1.0796
    -0.0034 (-0.31%)
     
  • 10-Yr Bond

    4.1960
    0.0000 (0.00%)
     
  • Vix

    12.97
    +0.19 (+1.49%)
     
  • GBP/USD

    1.2610
    -0.0028 (-0.22%)
     
  • USD/JPY

    151.3760
    +0.1300 (+0.09%)
     
  • Bitcoin USD

    70,623.26
    +814.20 (+1.17%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • FTSE 100

    7,953.13
    +21.15 (+0.27%)
     
  • Nikkei 225

    40,168.07
    -594.66 (-1.46%)
     

Pangaea Logistics Solutions, Ltd. (NASDAQ:PANL) is definitely on the radar of institutional investors who own 44% of the company

Key Insights

  • Significantly high institutional ownership implies Pangaea Logistics Solutions' stock price is sensitive to their trading actions

  • A total of 5 investors have a majority stake in the company with 52% ownership

  • Insiders have been buying lately

To get a sense of who is truly in control of Pangaea Logistics Solutions, Ltd. (NASDAQ:PANL), it is important to understand the ownership structure of the business. The group holding the most number of shares in the company, around 44% 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.

Given the vast amount of money and research capacities at their disposal, institutional ownership tends to carry a lot 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 take a closer look to see what the different types of shareholders can tell us about Pangaea Logistics Solutions.

View our latest analysis for Pangaea Logistics Solutions

ownership-breakdown
ownership-breakdown

What Does The Institutional Ownership Tell Us About Pangaea Logistics Solutions?

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 Pangaea Logistics Solutions. 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. 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 Pangaea Logistics Solutions' earnings history below. Of course, the future is what really matters.

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

It would appear that 5.8% of Pangaea Logistics Solutions shares are controlled by hedge funds. That's interesting, because hedge funds can be quite active and activist. Many look for medium term catalysts that will drive the share price higher. The company's largest shareholder is The Rockland Trust Investment Management Group, with ownership of 19%. With 18% and 6.5% of the shares outstanding respectively, Carl Boggild and Wellington Management Group LLP are the second and third largest shareholders. Furthermore, CEO Mark Filanowski is the owner of 0.9% of the company's shares.

Our research also brought to light the fact that roughly 52% of the company is controlled by the top 5 shareholders suggesting that these owners wield significant influence on the business.

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.

Insider Ownership Of Pangaea Logistics Solutions

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

Our most recent data indicates that insiders own a reasonable proportion of Pangaea Logistics Solutions, Ltd.. Insiders own US$73m worth of shares in the US$312m company. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.

General Public Ownership

With a 27% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Pangaea Logistics Solutions. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Pangaea Logistics Solutions better, we need to consider many other factors. For instance, we've identified 2 warning signs for Pangaea Logistics Solutions (1 shouldn't be ignored) that you should be aware of.

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.

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

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.

Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here

Advertisement