Key Insights

• Insiders appear to have a vested interest in Solaris Resources' growth, as seen by their sizeable ownership

• The top 4 shareholders own 53% of the company

• Recent purchases by insiders

Every investor in Solaris Resources Inc. (TSE:SLS) should be aware of the most powerful shareholder groups. With 41% stake, individual insiders possess the maximum shares in the company. Put another way, the group faces the maximum upside potential (or downside risk).

Insiders who purchased recently should be particularly happy after the stock gained 14% in the past week.

Let's delve deeper into each type of owner of Solaris Resources, beginning with the chart below.

See our latest analysis for Solaris Resources

What Does The Institutional Ownership Tell Us About Solaris Resources?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

Solaris Resources already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Solaris Resources, (below). Of course, keep in mind that there are other factors to consider, too.

Hedge funds don't have many shares in Solaris Resources. Our data suggests that Richard Warke, who is also the company's Top Key Executive, holds the most number of shares at 36%. When an insider holds a sizeable amount of a company's stock, investors consider it as a positive sign because it suggests that insiders are willing to have their wealth tied up in the future of the company. BlackRock, Inc. is the second largest shareholder owning 8.6% of common stock, and Daniel Earle holds about 3.8% of the company stock. Interestingly, the third-largest shareholder, Daniel Earle is also a Member of the Board of Directors, again, indicating strong insider ownership amongst the company's top shareholders.

To make our study more interesting, we found that the top 4 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.

While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.