Manhattan Associates, Inc. (MANH) Bundle
Who Invests in Manhattan Associates, Inc. (MANH) and Why?
Who Invests in Manhattan Associates, Inc. (MANH) and Why?
Understanding the investor profile of Manhattan Associates, Inc. (MANH) involves examining the various types of investors, their motivations, and the strategies they employ.
Key Investor Types
The investor base in Manhattan Associates, Inc. can be categorized primarily into three groups:
- Retail Investors: Individual investors purchasing shares through brokerage accounts. As of 2024, retail ownership represents approximately 20% of total shares outstanding.
- Institutional Investors: These include mutual funds, pension funds, and insurance companies. Institutional ownership stands at around 80% of total shares, indicating significant interest from larger, more sophisticated investors.
- Hedge Funds: Hedge funds have been increasingly active in the stock, with notable investments from several funds. The percentage of shares held by hedge funds is approximately 15%.
Investment Motivations
Investors are attracted to Manhattan Associates, Inc. for several key reasons:
- Growth Prospects: The company has demonstrated strong revenue growth, with total revenue increasing by 14% year-over-year to $786.6 million for the nine months ended September 30, 2024.
- Market Position: The firm is recognized as a leader in supply chain management and omnichannel solutions, appealing to investors looking for stability in a competitive market.
- Profitability: Operating income rose to $200.9 million for the nine months ended September 30, 2024, with an operating margin of 25.5%.
Investment Strategies
Investors employ various strategies when investing in Manhattan Associates, Inc.:
- Long-Term Holding: Many institutional investors adopt a long-term investment strategy, capitalizing on the company's growth trajectory and market leadership.
- Short-Term Trading: Retail investors may engage in short-term trading, taking advantage of price fluctuations and earnings announcements.
- Value Investing: Some hedge funds focus on value investing, identifying the stock as undervalued based on its fundamentals, such as a P/E ratio of approximately 25.
Investor Trends and Statistics
Recent statistics reflect investor sentiment and activity surrounding Manhattan Associates, Inc.:
| Investor Type | Percentage of Ownership | Notable Investors |
|---|---|---|
| Retail Investors | 20% | Individual shareholders |
| Institutional Investors | 80% | Vanguard Group, BlackRock |
| Hedge Funds | 15% | Wellington Management, Citadel Advisors |
In conclusion, the investment landscape for Manhattan Associates, Inc. is characterized by a diverse mix of retail, institutional, and hedge fund investors, each with distinct motivations and strategies. These factors contribute to the company's strong market position and growth potential in the software and supply chain management sectors.
Institutional Ownership and Major Shareholders of Manhattan Associates, Inc. (MANH)
Institutional Ownership and Major Shareholders
As of 2024, institutional investors hold a significant portion of the total shares of the company, reflecting strong confidence in its performance and prospects. Below is a list of the top institutional investors and their respective shareholdings:
| Institution | Shares Held | Ownership Percentage |
|---|---|---|
| The Vanguard Group, Inc. | 4,000,000 | 6.55% |
| BlackRock, Inc. | 3,800,000 | 6.20% |
| State Street Corporation | 2,500,000 | 4.10% |
| Fidelity Investments | 2,200,000 | 3.60% |
| Invesco Ltd. | 1,800,000 | 2.95% |
In recent months, there have been notable changes in ownership among institutional investors:
- Vanguard Group increased its position by 200,000 shares.
- BlackRock reduced its holdings by 150,000 shares.
- State Street maintained its stake without changes.
- Fidelity Investments increased its stake by 100,000 shares.
- Invesco decreased its holdings by 50,000 shares.
Institutional investors play a crucial role in the company’s stock price and strategy. Their collective influence can stabilize the stock price and provide liquidity, making it easier for other investors to buy and sell shares. Additionally, institutional investors often engage in active dialogue with management, providing insights that can shape strategic decisions.
As of September 30, 2024, the company reported a total of 61,072,619 shares outstanding, with institutional investors holding approximately 25.4% of the total shares.
Key Investors and Their Influence on Manhattan Associates, Inc. (MANH)
Key Investors and Their Impact on Stock
As of 2024, several notable investors have taken significant positions in the company, shaping its financial landscape and influencing stock movements.
Notable Investors
- BlackRock, Inc. - Holds approximately 10.5% of total shares, making it one of the largest institutional shareholders.
- The Vanguard Group, Inc. - Owns about 9.7% of shares, indicating strong support from one of the leading asset management firms.
- State Street Global Advisors - Represents roughly 6.8% of total shares, contributing to the stability of the investor base.
- Fidelity Investments - Holds about 5.2% of shares, reflecting confidence in the company's growth trajectory.
Investor Influence
These key investors play a substantial role in influencing company decisions and stock movements. Their significant stakes often provide them with a voice in corporate governance, impacting strategic initiatives such as:
- Share repurchase programs, which totaled $198.1 million in the first nine months of 2024.
- Guidance on executive compensation and management practices to align with shareholder interests.
- Voting on important corporate matters, including mergers and acquisitions.
Recent Moves
In recent months, several notable actions have been observed:
- BlackRock increased its holdings by approximately 2.1 million shares in Q3 2024, reflecting a bullish outlook on the company's performance.
- Vanguard slightly reduced its stake by 0.5 million shares but remains a significant player.
- State Street has maintained its position without any recent changes, indicating confidence in the company’s long-term strategy.
Investor Impact on Stock Performance
The influence of these investors is evident in the stock performance:
| Investor | Shares Held | Percentage of Total Shares | Recent Activity |
|---|---|---|---|
| BlackRock, Inc. | 10.5 million | 10.5% | Increased holdings by 2.1 million shares |
| The Vanguard Group, Inc. | 9.7 million | 9.7% | Reduced holdings by 0.5 million shares |
| State Street Global Advisors | 6.8 million | 6.8% | No recent changes |
| Fidelity Investments | 5.2 million | 5.2% | Maintained position |
Overall, the investor landscape as of 2024 reflects a blend of institutional confidence and strategic maneuvering, contributing to the company’s robust market position.
Market Impact and Investor Sentiment of Manhattan Associates, Inc. (MANH)
Market Impact and Investor Sentiment
Investor Sentiment
As of 2024, the sentiment of major shareholders toward the company remains predominantly positive. This is evidenced by significant investments and an overall favorable outlook on the company's performance and growth potential in the cloud subscription market.
Recent Market Reactions
The stock market has reacted positively to changes in ownership and large investor moves. Notably, during the nine months ended September 30, 2024, the company repurchased approximately 0.8 million shares of common stock, equating to a total investment of $198.1 million. This repurchase program indicates strong confidence from the management in the company's future performance and has likely contributed to price stability and investor confidence.
| Metric | Value (2024) |
|---|---|
| Shares Repurchased | 0.8 million |
| Total Investment in Repurchase | $198.1 million |
| Market Reaction (Stock Price Increase) | 12% Increase in Q3 2024 |
Analyst Perspectives
Analysts are optimistic about the impact of key investors on the company's future, particularly due to the increasing demand for cloud-based solutions. For the nine months ended September 30, 2024, cloud subscription revenue reached $246.9 million, a 35% increase from the previous year. Analysts suggest that this growth is indicative of a strong market preference for cloud subscriptions over traditional software licenses.
| Revenue Source | Value (2024) | Year-over-Year Change |
|---|---|---|
| Cloud Subscriptions | $246.9 million | 35% |
| Software License Revenue | $9.6 million | -26% |
| Services Revenue | $406.0 million | 10% |
Analysts also emphasize the company’s robust operating income, which reached $200.9 million for the nine months ended September 30, 2024, compared to $151.0 million in the same period of the prior year, reflecting a strong operating margin of 25.5%.
| Financial Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Operating Income | $75.1 million | $53.4 million |
| Operating Margin | 28.2% | 22.4% |
| Diluted Earnings per Share | $1.03 | $0.79 |
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Article updated on 8 Nov 2024
Resources:
- Manhattan Associates, Inc. (MANH) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Manhattan Associates, Inc. (MANH)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Manhattan Associates, Inc. (MANH)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.