Key Insights

• The considerable ownership by individual investors in Arrow Exploration indicates that they collectively have a greater say in management and business strategy

• 40% of the business is held by the top 11 shareholders

• Recent sales by insiders

Every investor in Arrow Exploration Corp. (CVE:AXL) should be aware of the most powerful shareholder groups. With 60% 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).

And individual insiders on the other hand have a 31% ownership in the company. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders.

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

See our latest analysis for Arrow Exploration

What Does The Institutional Ownership Tell Us About Arrow Exploration?

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.

We can see that Arrow Exploration 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 Arrow Exploration, (below). Of course, keep in mind that there are other factors to consider, too.

Arrow Exploration is not owned by hedge funds. Askar Alshinbayev is currently the company's largest shareholder with 17% of shares outstanding. Edale Capital LLP is the second largest shareholder owning 6.9% of common stock, and Tim Leslie holds about 5.9% of the company stock. Additionally, the company's CEO G. Abbott directly holds 1.9% of the total shares outstanding.

On studying our ownership data, we found that 11 of the top shareholders collectively own less than 50% of the share register, implying that no single individual has a majority interest.

While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track.