How Many Ares Commercial Real Estate Corporation (NYSE:ACRE) Shares Do Institutions Own?
One look at the shareholders of Ares Commercial Real Estate Corporation (NYSE: ACRE) can tell us which group is most powerful. Institutions often own stocks in larger companies, and we expect insiders to own a significant percentage of the smaller companies. We also tend to see lower insider exposure to companies that were previously publicly owned.
Ares Commercial Real Estate is a smaller company with a market cap of $ 396 million that may still be under the radar of many institutional investors. Our analysis of ownership of the company below shows that institutions own shares in the company. We can expand the different groups of owners to learn more about Ares Commercial Real Estate.
Check out our latest analysis for Ares Commercial Real Estate
Division of ownership
What does institutional ownership tell us about Ares Commercial Real Estate?
Many institutions measure their performance against an index that approximates the local market. Therefore, they tend to pay more attention to companies included in major indices.
Ares Commercial Real Estate already has institutes in the share register. Indeed, they have a respectable stake in the company. This can indicate that the company has some degree of credibility in the mutual trust. However, it is best not to rely on the purported validation that comes with institutional investors. Sometimes they get it wrong too. If several institutions change their view of a share at the same time, the share price can fall quickly. It is therefore worth looking at Ares Commercial Real Estate’s earnings history below. Of course, the future is what really matters.
Profit and sales growth
Investors should note that institutions actually own more than half of the company so they can collectively wield significant power. Ares Commercial Real Estate is not a hedge fund. BlackRock, Inc. is currently the company’s largest shareholder with 9.4% of the issued shares. In comparison, the second and third largest shareholders hold around 5.0% and 4.8% of the shares.
The story goes on
A look at the shareholder register shows that 50% of the property is controlled by the 21 largest shareholders, meaning that no single shareholder has a controlling stake in the property.
Researching institutional ownership is a great way to measure and filter the expected performance of a stock. The same can be achieved by examining the analysts’ feelings. Quite a few analysts cover the stock, so it’s easy to see forecast growth.
Ares Commercial Real Estate insider ownership
While the exact definition of an insider can be subjective, almost every board member considers an insider. Management ultimately replies to the board. However, it’s not uncommon for managers to be board members, especially if they’re founders or CEOs.
Most consider insider ownership a positive as it can indicate that the board of directors is well aligned with other shareholders. In some cases, however, too much power is centered on this group.
I can report that Insiders own shares in Ares Commercial Real Estate Corporation. As individuals, the Insiders collectively own $ 18 million of the $ 396 million company. Some would say this shows a balance of interests between shareholders and the board of directors. But it might be worth checking if these insiders have sold.
General public property
With a 34% share, the general public has some influence on Ares Commercial Real Estate. While this size of property may not be sufficient to sway a political decision in their favor, they can still have a collective influence on company policies.
While it is worth looking at the different groups that own a business, there are other factors that are even more important. Case in point: we have discovered 4 warning signs for Ares Commercial Real Estate You should be aware of this, and 2 of them are potentially serious.
Eventually The future is most important. You can access it free Report on analyst forecast for the company.
NB: The figures in this article are calculated using data from the last twelve months, which refers to the twelve month period ending on the last date of the month in which the financial statements are dated. This may not match the figures in the annual report for the full year.
This article from Simply Wall St is of a general nature. It is not a recommendation to buy or sell stocks and does not take into account your goals or your financial situation. We want to provide you with a long-term, focused analysis based on fundamental data. Note that our analysis may not take into account the latest price sensitive company announcements or quality materials. Simply Wall St has no position in the stocks mentioned.
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