What You Need To Know About Aspira Womens Health Inc.s (NASDAQ:AWH) Investor Composition – Simply Wall St

Every investor in Aspira Womens Health Inc. (NASDAQ:AWH) should be aware of the most powerful shareholder groups. Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. Warren Buffett said that he likes a business with enduring competitive advantages that is run by able and owner-oriented people. So its nice to see some insider ownership, because it may suggest that management is owner-oriented.

Aspira Womens Health is a smaller company with a market capitalization of US$330m, so it may still be flying under the radar of many institutional investors. In the chart below, we can see that institutional investors have bought into the company. We can zoom in on the different ownership groups, to learn more about Aspira Womens Health.

View our latest analysis for Aspira Womens Health

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.

Aspira Womens Health already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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 Aspira Womens Health, (below). Of course, keep in mind that there are other factors to consider, too.

It looks like hedge funds own 8.8% of Aspira Womens Health shares. That catches my attention because hedge funds sometimes try to influence management, or bring about changes that will create near term value for shareholders. Looking at our data, we can see that the largest shareholder is Jack Schuler with 22% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 12% and 8.8%, of the shares outstanding, respectively.

On looking further, we found that 51% 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 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. As far I can tell there isnt analyst coverage of the company, so it is probably flying under the radar.

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.

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 Aspira Womens Health Inc.. It has a market capitalization of just US$330m, and insiders have US$123m worth of shares in their own names. 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.

With a 35% ownership, the general public have some degree of sway over Aspira Womens Health. 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.

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Case in point: Weve spotted 4 warning signs for Aspira Womens Health you should be aware of.

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.

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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. 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. *Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020

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What You Need To Know About Aspira Womens Health Inc.s (NASDAQ:AWH) Investor Composition - Simply Wall St

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