Key Insights

• Insiders appear to have a vested interest in JinkoSolar Holding's growth, as seen by their sizeable ownership
• The top 7 shareholders own 51% of the company
• Institutional ownership in JinkoSolar Holding is 31%

A look at the shareholders of JinkoSolar Holding Co., Ltd. (NYSE:JKS) can tell us which group is most powerful. We can see that individual insiders own the lion's share in the company with 37% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

And following last week's 9.8% decline in share price, insiders suffered the most losses.

Let's take a closer look to see what the different types of shareholders can tell us about JinkoSolar Holding.

What Does The Institutional Ownership Tell Us About JinkoSolar Holding?

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.

As you can see, institutional investors have a fair amount of stake in JinkoSolar Holding. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of JinkoSolar Holding, (below). Of course, keep in mind that there are other factors to consider, too.

Hedge funds don't have many shares in JinkoSolar Holding. With a 20% stake, CEO Xiande Li is the largest shareholder. Meanwhile, the second and third largest shareholders, hold 14% and 4.8%, of the shares outstanding, respectively.

We also observed that the top 7 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.

While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of JinkoSolar Holding

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.

Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.

Our information suggests that insiders maintain a significant holding in JinkoSolar Holding Co., Ltd.. It has a market capitalization of just US$1.1b, and insiders have US$417m worth of shares in their own names. That's quite significant. It is good to see this level of investment. You can check here to see if those insiders have been buying recently.

General Public Ownership

With a 31% ownership, the general public, mostly comprising of individual investors, have some degree of sway over JinkoSolar Holding. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand JinkoSolar Holding better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 4 warning signs for JinkoSolar Holding you should know about.

But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com