Principal Shareholder

Filed Under » ,
Dictionary Says

Definition of 'Principal Shareholder'

The main owner of a publicly traded investment, also known as the majority shareholder. The principal shareholder is the entity that owns the greatest percentage of a company's shares and therefore has the largest stake in the company's success. Smaller investors often look to the behavior of the principal shareholder as an indication of the company's performance. If the principal shareholder makes a large additional investment in the company, for example, this is probably an indication that the company is performing well.
Investopedia Says

Investopedia explains 'Principal Shareholder'

In some cases, the company's principal shareholder is also its CEO, president or founder. This is common due to the fact that often the individual or family which founded the company typically insists on maintaining majority control over the company's shares, allowing them, the primary shareholders to dictate to a large degree the direction of the business.
Search results for

'Principal Shareholder'

  • Dole's Lackluster IPO Leads To Buying Opportunity

    http://stocks.investopedia.com/stock-analysis/2009/Doles-Lackluster-IPO-Leads-To-Buying-Opportunity-DOLE-CQB-FDP1119.aspx
    ... With 87.4 million shares of common stock outstanding, Dole Foods went public with
    a market cap of about $1.1 billion with Murdock as the principal shareholder. ...

  • Why You Shouldn't Jump On Columbia's Mountain

    http://stocks.investopedia.com/stock-analysis/2009/why-you-shouldnt-jump-on-columbias-mountain-colm0210.aspx
    ... Morningstar's proxy statement reads, "In consideration of his status as our principal
    shareholder, Joe Mansueto believes his compensation as our chief ...

  • Profit From Mortgage Debt With MBS

    http://www.investopedia.com/articles/06/mortgagebackedsecurities.asp
    ... As the mortgages amortize and prepayments reduce the principal balance, the IO's ...
    Mortgage Association (Fannie Mae) Fannie Mae is a shareholder-owned company ...

  • Series 6 Study Guide - Securities Industry Regulations - Rules and ...

    http://www.investopedia.com/exam-guide/finra-series-6/securities-industry-regulations/mutual-fund-rules-reporting-requirements.asp
    ... Payments to the principal underwriter are made according to a written plan ... Shareholder
    Rights An investment company must abide by certain shareholder rights. ...

  • Should You invest in American Capital's Lesser Known Affiliate?

    http://stocks.investopedia.com/stock-analysis/2011/Should-You-invest-in-American-Capitals-Lesser-Known-Affiliate-AGNC-ACAP-FMCC-FNMA0323.aspx
    ... getting too fancy, the former represents an interest in the principal and interest ...
    for investors, it leverages anywhere from six- to 11-times shareholder equity ...

  • Stocks Basics: What Are Stocks? | Investopedia

    http://www.investopedia.com/university/stocks/stocks1.asp
    ... a bond, you are guaranteed the return of your money (the principal) along with ... as
    a small business owner isn't guaranteed a return, neither is a shareholder. ...

  • 4 Leverage Ratios Used In Evaluating Energy Firms

    http://www.investopedia.com/articles/fundamental-analysis/12/4-Leverage-Ratios-Used-In-Evaluating_Energy_Firms.asp
    ... Using leverage can increase shareholder returns, as the cost of debt is lower than
    the ... can be used to pay the interest on the debt and repay the principal. ...

  • How A Mutual Fund Works | Investopedia

    http://www.investopedia.com/university/quality-mutual-fund/chp1-Introduction/mf-structure.asp
    ... Investment Advisor, Principal Underwriter, Administrator, Transfer Agent, Custodian, ...
    Executes shareholder transactions, maintains records of transactions and other ...

  • Why Stocks Outperform Bonds

    http://www.investopedia.com/articles/basics/08/stocks-bonds-performance.asp
    ... known as the principal, at some point in the future. Stocks are, in essence, partial
    ownership rights in the company that entitle the shareholder to share in ...

  • Earnings Power Drives Stocks

    http://www.investopedia.com/articles/basics/07/earnings-power.asp
    ... a shareholder's investments (or the book value of the shareholder's investment). ...
    hits the income statement directly) but also from principal repayments (which ...

Related Articles

Bank Rates
Product Today Last Wk
$10K MMA 0.50% 0.51%
MMA 0.45% 0.46%
6 Month CD 0.46% 0.47%
1 Year CD 0.70% 0.75%
5 Year CD 1.46% 1.46%
1 Year Jumbo CD 0.66% 0.67%
Rate data provided by Bankrate
Product Today Last Wk
$30K HELOC 4.59% 4.60%
$30K Home Equity Loan 5.74% 5.77%
$50K Home Equity Loan 5.45% 5.50%
$50K HELOC 4.24% 4.24%
$100K Home Equity Loan 5.41% 5.46%
$100K HELOC 4.13% 4.13%
Rate data provided by Bankrate
Product Today Last Wk
30 Year Fixed 3.80% 3.80%
15 Year Fixed 3.09% 3.11%
1 Year ARM 3.54% 3.53%
30 Year Fixed Jumbo 4.38% 4.38%
5/1 ARM 2.65% 2.69%
3/1 ARM 2.69% 2.69%
Rate data provided by Bankrate
Product Today Last Wk
60 Month Used Car Loan 4.51% 4.51%
48 Month Used Car Loan 4.35% 4.35%
48 Month New Car Loan 3.24% 3.24%
36 Month Used Car Loan 4.34% 4.36%
36 Month New Car Loan 3.11% 3.13%
60 Month New Car Loan 3.35% 3.34%
Rate data provided by Bankrate
Partner Links