What Kind Of Shareholders Own Tedea Technological Development and Automation Ltd. (TLV:TEDE)? – Simply Wall St

Posted: January 18, 2020 at 10:37 am

A look at the shareholders of Tedea Technological Development and Automation Ltd. (TLV:TEDE) can tell us which group is most powerful. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. I generally like to see some degree of insider ownership, even if only a little. As Nassim Nicholas Taleb said, Dont tell me what you think, tell me what you have in your portfolio.

Tedea Technological Development and Automation is not a large company by global standards. It has a market capitalization of 78m, which means it wouldnt have the attention of many institutional investors. In the chart below, we can see that institutional investors have bought into the company. Lets delve deeper into each type of owner, to discover more about Tedea Technological Development and Automation.

Check out our latest analysis for Tedea Technological Development and Automation

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 Tedea Technological Development and Automation does have institutional investors; and they hold 11% of the stock. This suggests some credibility amongst professional investors. But we cant rely on that fact alone, since institutions make bad investments sometimes, just like everyone does. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. Its therefore worth looking at Tedea Technological Development and Automations earnings history, below. Of course, the future is what really matters.

Tedea Technological Development and Automation is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is F.G.R.R. Holdings Ltd with 17% of shares outstanding. The second largest shareholder with 15%, is Mordechai Gorfung, followed by Yelin Lapidot Provident Funds Management Ltd., with an ownership of 9.6%.

Additionally, we found that 52% of the shares are owned by the top 5 shareholders. In other words, these shareholders have a meaningful say in the decisions of the company.

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 stocks expected performance. Our information suggests that there isnt any analyst coverage of the stock, so it is probably little known.

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.

It seems insiders own a significant proportion of Tedea Technological Development and Automation Ltd.. Insiders have a 27m stake in this 78m business. I would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.

The general public, with a 33% stake in the company, will not 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.

It seems that Private Companies own 21%, of the TEDE stock. 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.

While it is well worth considering the different groups that own a company, there are other factors that are even more important. To that end, you should learn about the 6 warning signs weve spotted with Tedea Technological Development and Automation (including 2 which is dont sit too well with us) .

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

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.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Thank you for reading.

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What Kind Of Shareholders Own Tedea Technological Development and Automation Ltd. (TLV:TEDE)? - Simply Wall St

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