Key Insights

• IODM's significant individual investors ownership suggests that the key decisions are influenced by shareholders from the larger public

• A total of 16 investors have a majority stake in the company with 51% ownership

• 32% of IODM is held by insiders

A look at the shareholders of IODM Limited (ASX:IOD) can tell us which group is most powerful. With 46% stake, individual investors possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

While individual investors were the group that reaped the most benefits after last week’s 29% price gain, insiders also received a 32% cut.

Let's take a closer look to see what the different types of shareholders can tell us about IODM.

View our latest analysis for IODM

What Does The Institutional Ownership Tell Us About IODM?

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.

IODM already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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 IODM's earnings history below. Of course, the future is what really matters.

IODM is not owned by hedge funds. Our data shows that Christopher Rogers is the largest shareholder with 6.7% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 6.1% and 6.0%, of the shares outstanding, respectively. In addition, we found that Mark Reilly, the CEO has 5.1% of the shares allocated to their name.

Looking at the shareholder registry, we can see that 51% of the ownership is controlled by the top 16 shareholders, meaning that no single shareholder has a majority interest in the ownership.

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. Our information suggests that there isn't any analyst coverage of the stock, so it is probably little known.

Insider Ownership Of IODM

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