Individual investors account for 57% of C&F Financial Corporation's (NASDAQ:CFFI) ownership, while institutions account for 37%
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Key Insights
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The considerable ownership by individual investors in C&F Financial indicates that they collectively have a greater say in management and business strategy
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A total of 25 investors have a majority stake in the company with 37% ownership
A look at the shareholders of C&F Financial Corporation (NASDAQ:CFFI) can tell us which group is most powerful. We can see that individual investors own the lion's share in the company with 57% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
Meanwhile, institutions make up 37% of the company’s shareholders. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies.
Let's delve deeper into each type of owner of C&F Financial, beginning with the chart below.
Check out our latest analysis for C&F Financial
What Does The Institutional Ownership Tell Us About C&F Financial?
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 C&F Financial does have institutional investors; and they hold a good portion of the company's stock. 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 C&F Financial's earnings history below. Of course, the future is what really matters.
We note that hedge funds don't have a meaningful investment in C&F Financial. Looking at our data, we can see that the largest shareholder is BlackRock, Inc. with 5.7% of shares outstanding. For context, the second largest shareholder holds about 5.5% of the shares outstanding, followed by an ownership of 4.8% by the third-largest shareholder. Furthermore, CEO Thomas Cherry is the owner of 1.1% of the company's shares.
Our studies suggest that the top 25 shareholders collectively control less than half of the company's shares, meaning that the company's shares are widely disseminated and there is no dominant shareholder.
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. As far as we can tell there isn't analyst coverage of the company, so it is probably flying under the radar.