U.S. markets closed
  • S&P 500

    4,283.74
    +9.70 (+0.23%)
     
  • Dow 30

    33,999.04
    +18.72 (+0.06%)
     
  • Nasdaq

    12,965.34
    +27.22 (+0.21%)
     
  • Russell 2000

    2,000.73
    +13.41 (+0.68%)
     
  • Crude Oil

    90.58
    +0.08 (+0.09%)
     
  • Gold

    1,771.50
    +0.30 (+0.02%)
     
  • Silver

    19.45
    -0.01 (-0.07%)
     
  • EUR/USD

    1.0092
    -0.0088 (-0.87%)
     
  • 10-Yr Bond

    2.8800
    -0.0130 (-0.45%)
     
  • GBP/USD

    1.1935
    -0.0116 (-0.97%)
     
  • USD/JPY

    135.8680
    +0.7780 (+0.58%)
     
  • BTC-USD

    23,363.88
    +38.95 (+0.17%)
     
  • CMC Crypto 200

    558.74
    +1.01 (+0.18%)
     
  • FTSE 100

    7,541.85
    +26.10 (+0.35%)
     
  • Nikkei 225

    28,942.14
    -280.63 (-0.96%)
     

What Type Of Shareholders Make Up Jack Creek Investment Corp.'s (NASDAQ:JCIC) Share Registry?

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
·4 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

A look at the shareholders of Jack Creek Investment Corp. (NASDAQ:JCIC) can tell us which group is most powerful. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. We also tend to see lower insider ownership in companies that were previously publicly owned.

Jack Creek Investment is a smaller company with a market capitalization of US$425m, so it may still be flying under the radar of many institutional investors. In the chart below, we can see 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 Jack Creek Investment.

See our latest analysis for Jack Creek Investment

ownership-breakdown
ownership-breakdown

What Does The Institutional Ownership Tell Us About Jack Creek Investment?

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.

We can see that Jack Creek Investment does have institutional investors; and they hold a good portion of the company's stock. 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Jack Creek Investment's historic earnings and revenue below, but keep in mind there's always more to the story.

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

Since institutional investors own more than half the issued stock, the board will likely have to pay attention to their preferences. We note that hedge funds don't have a meaningful investment in Jack Creek Investment. Ksh Capital Lp is currently the company's largest shareholder with 20% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 4.9% and 4.1%, of the shares outstanding, respectively.

Looking at the shareholder registry, we can see that 50% of the ownership is controlled by the top 12 shareholders, meaning that no single shareholder has a majority interest in the ownership.

Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. Our information suggests that there isn't any analyst coverage of the stock, so it is probably little known.

Insider Ownership Of Jack Creek Investment

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.

Our most recent data indicates that insiders own less than 1% of Jack Creek Investment Corp.. It appears that the board holds about US$740k worth of stock. This compares to a market capitalization of US$425m. Many investors in smaller companies prefer to see the board more heavily invested. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public, who are usually individual investors, hold a 11% stake in Jack Creek Investment. 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:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Be aware that Jack Creek Investment is showing 4 warning signs in our investment analysis , and 3 of those are a bit concerning...

Of course this may not be the best stock to buy. Therefore, you may wish to see our free collection of interesting prospects boasting favorable financials.

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