Key Insights

• Significant control over IB Acquisition by retail investors implies that the general public has more power to influence management and governance-related decisions

• The top 9 shareholders own 42% of the company

• 24% of IB Acquisition is held by Institutions

Every investor in IB Acquisition Corp. (NASDAQ:IBAC) should be aware of the most powerful shareholder groups. With 58% stake, retail 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.

And institutions on the other hand have a 24% ownership in the company. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies.

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

See our latest analysis for IB Acquisition

What Does The Institutional Ownership Tell Us About IB Acquisition?

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 IB Acquisition 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. 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 IB Acquisition's earnings history below. Of course, the future is what really matters.

IB Acquisition is not owned by hedge funds. I-B Good Works 4, LLC is currently the largest shareholder, with 18% of shares outstanding. For context, the second largest shareholder holds about 16% of the shares outstanding, followed by an ownership of 3.1% by the third-largest shareholder.

Our studies suggest that the top 9 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.

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

Insider Ownership Of IB Acquisition

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