Both individual investors who control a good portion of PLAYSTUDIOS, Inc. (NASDAQ:MYPS) along with institutions must be dismayed after last week's 27% decrease
In This Article:
Key Insights
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PLAYSTUDIOS' significant individual investors ownership suggests that the key decisions are influenced by shareholders from the larger public
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47% of the business is held by the top 25 shareholders
If you want to know who really controls PLAYSTUDIOS, Inc. (NASDAQ:MYPS), then you'll have to look at the makeup of its share registry. With 48% stake, individual investors possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
While institutions who own 36% came under pressure after market cap dropped to US$197m last week,individual investors took the most losses.
Let's take a closer look to see what the different types of shareholders can tell us about PLAYSTUDIOS.
Check out our latest analysis for PLAYSTUDIOS
What Does The Institutional Ownership Tell Us About PLAYSTUDIOS?
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.
As you can see, institutional investors have a fair amount of stake in PLAYSTUDIOS. 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 PLAYSTUDIOS, (below). Of course, keep in mind that there are other factors to consider, too.
Hedge funds don't have many shares in PLAYSTUDIOS. The company's CEO Andrew Pascal is the largest shareholder with 14% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 4.9% and 3.8%, of the shares outstanding, respectively.
On studying our ownership data, we found that 25 of the top shareholders collectively own less than 50% of the share register, implying that no single individual has a majority interest.
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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.
Insider Ownership Of PLAYSTUDIOS
While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.