Key Insights

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

• The top 16 shareholders own 51% of the company

• Institutions own 30% of Johns Lyng Group

Every investor in Johns Lyng Group Limited (ASX:JLG) should be aware of the most powerful shareholder groups. With 43% stake, individual investors possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

While the holdings of individual investors took a hit after last week’s 5.7% price drop, institutions with their 30% holdings also suffered.

In the chart below, we zoom in on the different ownership groups of Johns Lyng Group.

View our latest analysis for Johns Lyng Group

What Does The Institutional Ownership Tell Us About Johns Lyng Group?

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.

We can see that Johns Lyng Group does have institutional investors; and they hold a good portion of the company's stock. 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 Johns Lyng Group's earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in Johns Lyng Group. Looking at our data, we can see that the largest shareholder is Jlrx Investments Pty Limited with 18% of shares outstanding. In comparison, the second and third largest shareholders hold about 6.3% and 4.1% of the stock.

A closer look at our ownership figures suggests that the top 16 shareholders have a combined ownership of 51% implying that no single shareholder has a majority.

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 plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of Johns Lyng Group

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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.