Clover Health Investments’ significant individual investors ownership suggests that the key decisions are influenced by shareholders from the larger public
A total of 25 investors have a majority stake in the company with 37% ownership
If you want to know who really controls Clover Health Investments, Corp. (NASDAQ:CLOV), then you’ll have to look at the makeup of its share registry. The group holding the most number of shares in the company, around 59% to be precise, is individual investors. Put another way, the group faces the maximum upside potential (or downside risk).
Individual investors gained the most after market cap touched US$1.9b last week, while insiders who own 22% also benefitted.
In the chart below, we zoom in on the different ownership groups of Clover Health Investments.
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.
Clover Health Investments already has institutions on the share registry. Indeed, they own a respectable stake in the company. This suggests some credibility amongst professional investors. But we can’t rely on that fact alone since institutions make bad investments sometimes, just like everyone does. 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 Clover Health Investments, (below). Of course, keep in mind that there are other factors to consider, too.
NasdaqGS:CLOV Earnings and Revenue Growth May 9th 2025
Clover Health Investments is not owned by hedge funds. Our data suggests that Vivek Garipalli, who is also the company’s Top Key Executive, holds the most number of shares at 18%. When an insider holds a sizeable amount of a company’s stock, investors consider it as a positive sign because it suggests that insiders are willing to have their wealth tied up in the future of the company. For context, the second largest shareholder holds about 3.8% of the shares outstanding, followed by an ownership of 2.2% by the third-largest shareholder. In addition, we found that Andrew Toy, the CEO has 0.7% of the shares allocated to their name.
On studying our ownership data, we found that 25 of the top shareholders collectively own less than 50% of the share register, implying that no single individual has a majority interest.
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.
The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.
Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.
Our most recent data indicates that insiders own a reasonable proportion of Clover Health Investments, Corp.. It has a market capitalization of just US$1.9b, and insiders have US$429m worth of shares in their own names. That’s quite significant. Most would say this shows a good degree of alignment with shareholders, especially in a company of this size. You can click here to see if those insiders have been buying or selling.
The general public, mostly comprising of individual investors, collectively holds 59% of Clover Health Investments shares. This size of ownership gives investors from the general public some collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.
If you would prefer discover what analysts are predicting in terms of future growth, do not miss this freereport on analyst forecasts.
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. 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.
