individual investors who own 42% along with institutions invested in Cyrela Brazil Realty S.A. Empreendimentos e Participações (BVMF:CYRE3) saw increase in their holdings value last week

Every investor in Cyrela Brazil Realty S.A. Empreendimentos e Participações (BVMF:CYRE3) should be aware of the most powerful shareholder groups. We can see that individual investors own the lion’s share in the company with 42% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

While individual investors were the group that benefitted the most from last week’s R$519m market cap gain, institutions too had a 29% share in those profits.

Let’s delve deeper into each type of owner of Cyrela Brazil Realty Empreendimentos e Participações, beginning with the chart below.

See our latest analysis for Cyrela Brazil Realty Empreendimentos e Participações

What Does The Institutional Ownership Tell Us About Cyrela Brazil Realty Empreendimentos e Participações?

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 Cyrela Brazil Realty Empreendimentos e Participações 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. 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 Cyrela Brazil Realty Empreendimentos e Participações, (below). Of course, keep in mind that there are other factors to consider, too.

Cyrela Brazil Realty Empreendimentos e Participações is not owned by hedge funds. Our data shows that Elie Horn is the largest shareholder with 23% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 5.8% and 5.4%, of the shares outstanding, respectively.

We also observed that the top 9 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.

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 a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of Cyrela Brazil Realty Empreendimentos e Participações

The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. 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.

I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.

It seems insiders own a significant proportion of Cyrela Brazil Realty S.A. Empreendimentos e Participações. It has a market capitalization of just R$5.1b, and insiders have R$1.2b worth of shares in their own names. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.

General Public Ownership

The general public– including retail investors — own 42% stake in the company, and hence can’t easily be ignored. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.

Private Company Ownership

We can see that Private Companies own 5.8%, of the shares on issue. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.

Next Steps:

It’s always worth thinking about the different groups who own shares in a company. But to understand Cyrela Brazil Realty Empreendimentos e Participações better, we need to consider many other factors. Be aware that Cyrela Brazil Realty Empreendimentos e Participações is showing 2 warning signs in our investment analysis , you should know about…

If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.

NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.