Uroica Precision Information Engineering Co.,Ltd's (SZSE:300099) 12% Gain Last Week Benefited Both Individual Investors Who Own 56% as Well as Insiders
Uroica Precision Information Engineering Co.,Ltd's (SZSE:300099) 12% Gain Last Week Benefited Both Individual Investors Who Own 56% as Well as Insiders
Key Insights
- Significant control over Uroica Precision Information EngineeringLtd by individual investors implies that the general public has more power to influence management and governance-related decisions
- A total of 25 investors have a majority stake in the company with 44% ownership
- 39% of Uroica Precision Information EngineeringLtd is held by insiders
If you want to know who really controls Uroica Precision Information Engineering Co.,Ltd (SZSE:300099), 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 56% to be precise, is individual investors. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
While individual investors were the group that reaped the most benefits after last week's 12% price gain, insiders also received a 39% cut.
Let's take a closer look to see what the different types of shareholders can tell us about Uroica Precision Information EngineeringLtd.
What Does The Institutional Ownership Tell Us About Uroica Precision Information EngineeringLtd?
Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.
Since institutions own only a small portion of Uroica Precision Information EngineeringLtd, many may not have spent much time considering the stock. But it's clear that some have; and they liked it enough to buy in. If the company is growing earnings, that may indicate that it is just beginning to catch the attention of these deep-pocketed investors. We sometimes see a rising share price when a few big institutions want to buy a certain stock at the same time. The history of earnings and revenue, which you can see below, could be helpful in considering if more institutional investors will want the stock. Of course, there are plenty of other factors to consider, too.
Hedge funds don't have many shares in Uroica Precision Information EngineeringLtd. Looking at our data, we can see that the largest shareholder is Jinghua Wang with 28% of shares outstanding. With 4.5% and 2.8% of the shares outstanding respectively, Weiyi Li and Xianghong Yan are the second and third largest shareholders.
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.
Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There is some analyst coverage of the stock, but it could still become more well known, with time.
Insider Ownership Of Uroica Precision Information EngineeringLtd
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. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.
Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.
Our information suggests that insiders maintain a significant holding in Uroica Precision Information Engineering Co.,Ltd. Insiders have a CN¥2.0b stake in this CN¥5.1b business. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.
General Public Ownership
The general public, mostly comprising of individual investors, collectively holds 56% of Uroica Precision Information EngineeringLtd shares. This level of ownership gives investors from the wider public some power to sway key policy decisions such as board composition, executive compensation, and the dividend payout ratio.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand Uroica Precision Information EngineeringLtd better, we need to consider many other factors. For example, we've discovered 1 warning sign for Uroica Precision Information EngineeringLtd that you should be aware of before investing here.
If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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.