realestate

Sirius Real Estate's institutional owners reap benefits from one-year returns

Institutional ownership in Sirius Real Estate may make its stock price susceptible to market fluctuations.

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nstitutional investors hold a significant stake in Sirius Real Estate, which could make its stock price more susceptible to their trading decisions. The top 25 shareholders collectively own around 49% of the company's shares. Insiders have been buying up shares recently, and we've identified 21 US stocks forecast to pay a dividend yield of over 6% next year.

    A closer look at Sirius Real Estate's shareholder structure reveals that institutions hold a substantial majority, with 55% ownership. This concentration of institutional investors means they face the maximum upside potential or downside risk. As a result, they reaped significant rewards when the company's stock price surged 16% last week, boosting its one-year return to shareholders to 1.4%.

    Let's examine the different types of shareholders and what their holdings might indicate about Sirius Real Estate. Institutional investors often compare their returns to those of a benchmark index, which is why they tend to favor larger companies included in that index. In this case, Sirius Real Estate has institutional investors holding a significant portion of its stock, suggesting analysts have given the company a thumbs-up.

    However, when multiple institutions own a stock, there's always a risk of a 'crowded trade,' where many parties sell their shares quickly if the investment goes sour. This risk is heightened in companies without a history of growth, like Sirius Real Estate. The company's earnings and revenue growth can be seen below, but it's essential to consider other factors as well.

    Given that institutional investors hold more than half of the issued stock, the board will likely prioritize their preferences. Notably, hedge funds do not own shares in Sirius Real Estate. BlackRock, Inc. is the largest shareholder with an 8.5% stake, followed by two other significant shareholders holding 7.7% and 5.8%, respectively. CEO Andrew Coombs owns a smaller portion of the company's shares at 0.8%. Our analysis suggests that the top 25 shareholders collectively control less than half of the company's shares, indicating a relatively dispersed ownership structure with no dominant shareholder.

Institutional investors reap benefits from one-year returns at Sirius Real Estate headquarters.