Significantly high institutional ownership implies eBay's stock price is sensitive to their trading actions
The top 21 shareholders own 50% of the company
Ownership research along with analyst forecasts data help provide a good understanding of opportunities in a stock
If you want to know who really controls eBay Inc. (NASDAQ:EBAY), then you'll have to look at the makeup of its share registry. With 89% stake, institutions possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
Institutional investors would probably welcome last week's 7.2% increase in share prices after a year of 20% losses as a sign that returns are likely to begin trending higher.
Let's take a closer look to see what the different types of shareholders can tell us about eBay.
Check out our latest analysis for eBay
NasdaqGS:EBAY Ownership Breakdown March 22nd 2023
What Does The Institutional Ownership Tell Us About eBay?
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.
As you can see, institutional investors have a fair amount of stake in eBay. 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see eBay's historic earnings and revenue below, but keep in mind there's always more to the story.
NasdaqGS:EBAY Earnings and Revenue Growth March 22nd 2023
Institutional investors own over 50% of the company, so together than can probably strongly influence board decisions. Hedge funds don't have many shares in eBay. The Vanguard Group, Inc. is currently the company's largest shareholder with 11% of shares outstanding. For context, the second largest shareholder holds about 8.5% of the shares outstanding, followed by an ownership of 4.3% by the third-largest shareholder.
Looking at the shareholder registry, we can see that 50% of the ownership is controlled by the top 21 shareholders, meaning that no single shareholder has a majority interest in the ownership.
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 stock's expected performance. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.
Insider Ownership Of eBay
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.
I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.
Our information suggests that eBay Inc. insiders own under 1% of the company. It is a very large company, so it would be surprising to see insiders own a large proportion of the company. Though their holding amounts to less than 1%, we can see that board members collectively own US$62m worth of shares (at current prices). In this sort of situation, it can be more interesting to see if those insiders have been buying or selling.
General Public Ownership
The general public-- including retail investors -- own 11% stake in the company, and hence can't easily be ignored. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.
Next Steps:
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. Take risks for example - eBay has 1 warning sign we think you should be aware of.
If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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.
Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.
Key Insights
关键见解
Significantly high institutional ownership implies eBay's stock price is sensitive to their trading actions
The top 21 shareholders own 50% of the company
Ownership research along with analyst forecasts data help provide a good understanding of opportunities in a stock
机构所有权显著高意味着eBay的股价对其交易行为很敏感
前21位股东拥有公司50％的股份
所有权研究以及分析师预测数据有助于更好地了解股票的机会
If you want to know who really controls eBay Inc. (NASDAQ:EBAY), then you'll have to look at the makeup of its share registry. With 89% stake, institutions possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
Institutional investors would probably welcome last week's 7.2% increase in share prices after a year of 20% losses as a sign that returns are likely to begin trending higher.
Let's take a closer look to see what the different types of shareholders can tell us about eBay.
让我们仔细看看不同类型的股东能告诉我们关于eBay的哪些信息。
Check out our latest analysis for eBay
查看我们对 eBay 的最新分析
NasdaqGS:EBAY Ownership Breakdown March 22nd 2023
纳斯达克：eBay 所有权明细 2023 年 3 月 22 日
What Does The Institutional Ownership Tell Us About eBay?
关于eBay，机构所有权告诉我们什么？
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.
许多机构根据近似于当地市场的指数来衡量自己的表现。因此，他们通常会更多地关注主要指数中包含的公司。
As you can see, institutional investors have a fair amount of stake in eBay. 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see eBay's historic earnings and revenue below, but keep in mind there's always more to the story.
NasdaqGS:EBAY Earnings and Revenue Growth March 22nd 2023
纳斯达克股票代码：eBay 收益和收入增长 2023 年 3 月 22 日
Institutional investors own over 50% of the company, so together than can probably strongly influence board decisions. Hedge funds don't have many shares in eBay. The Vanguard Group, Inc. is currently the company's largest shareholder with 11% of shares outstanding. For context, the second largest shareholder holds about 8.5% of the shares outstanding, followed by an ownership of 4.3% by the third-largest shareholder.
机构投资者拥有公司50％以上的股份，因此合在一起可能会强烈影响董事会的决策。对冲基金在eBay的股票不多。Vanguard Group, Inc. 目前是该公司的最大股东，拥有11％的已发行股份。就背景而言，第二大股东持有约8.5％的已发行股份，其次是第三大股东持有4.3％的所有权。
Looking at the shareholder registry, we can see that 50% of the ownership is controlled by the top 21 shareholders, meaning that no single shareholder has a majority interest in the ownership.
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 stock's expected performance. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.
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.
I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.
我通常认为内部所有权是一件好事。但是，在某些情况下，这使其他股东更难追究董事会对决策的责任。
Our information suggests that eBay Inc. insiders own under 1% of the company. It is a very large company, so it would be surprising to see insiders own a large proportion of the company. Though their holding amounts to less than 1%, we can see that board members collectively own US$62m worth of shares (at current prices). In this sort of situation, it can be more interesting to see if those insiders have been buying or selling.
我们的信息表明，eBay Inc. 内部人士拥有该公司不到1％的股份。这是一家非常大的公司，因此看到内部人士拥有该公司的很大一部分股份会令人惊讶。尽管他们的持股量不到1％，但我们可以看到董事会成员共同拥有价值6200万美元的股票（按当前价格计算）。在这种情况下，看看这些内部人士是在买入还是卖出可能会更有趣。
General Public Ownership
一般公有制
The general public-- including retail investors -- own 11% stake in the company, and hence can't easily be ignored. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.
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. Take risks for example - eBay has 1 warning sign we think you should be aware of.
If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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.
Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.
