What is the institutional ownership percentage?

Institutional ownership percentage is the percentage of outstanding shares owned by financial institutions. These institutions can be banks, funds, large holdings companies, etc.

Institutional Investor Ownership Percentage = Shares Owned By Institutional Investors / Shares Outstanding

Because of the investment made in research, institutions are not quick to sell their positions. Meanwhile, the institutional owners can influence whether analysts and fund managers at other institutions are interested in buying that stock, and the reputations of institutional ownership percentage can impact interest either in a stock or in a stock price.