I have a fairly large position in CompoSecure (CMPO). This is a small cap stock that became publicly traded late last year. According to Fintel it has institutional ownership of 98.5% and looking at the SEC filing dates this appears to be fairly accurate at this time. There are only about 15M shares currently available to trade.
I am wondering what your thoughts are on this situation. Typically I think of the higher the institutional ownership the better but I am wondering if there are any cons as well. Potentially causing a lower volume of daily trading (it does have low volume ~ 180K shares per day), a risk of a large drop if one of them decide to dump. Any other concerns?
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