Significant insider control over China Lesso Group Holdings implies vested interests in company growth
Luen Hei Wong owns 69% of the company
Insiders have bought recently
Every investor in China Lesso Group Holdings Limited (HKG:2128) should be aware of the most powerful shareholder groups. With 69% stake, individual insiders possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
Insiders who purchased recently should be particularly happy after the stock gained 4.2% in the past week.
Let's take a closer look to see what the different types of shareholders can tell us about China Lesso Group Holdings.
SEHK:2128 Ownership Breakdown June 10th 2024
What Does The Institutional Ownership Tell Us About China Lesso Group Holdings?
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 China Lesso Group Holdings. 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 China Lesso Group Holdings, (below). Of course, keep in mind that there are other factors to consider, too.
SEHK:2128 Earnings and Revenue Growth June 10th 2024
We note that hedge funds don't have a meaningful investment in China Lesso Group Holdings. From our data, we infer that the largest shareholder is Luen Hei Wong (who also holds the title of Top Key Executive) with 69% of shares outstanding. Its usually considered a good sign when insiders own a significant number of shares in the company, and in this case, we're glad to see a company insider play the role of a key stakeholder. The second and third largest shareholders are The Vanguard Group, Inc. and Dimensional Fund Advisors LP, with an equal amount of shares to their name at 1.2%.
While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.
Insider Ownership Of China Lesso Group Holdings
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. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.
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.
It seems that insiders own more than half the China Lesso Group Holdings Limited stock. This gives them a lot of power. That means insiders have a very meaningful HK$8.0b stake in this HK$12b business. It is good to see this level of investment. You can check here to see if those insiders have been selling any of their shares.
General Public Ownership
The general public-- including retail investors -- own 21% stake in the company, and hence can't easily be ignored. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Next Steps:
While it is well worth considering the different groups that own a company, there are other factors that are even more important. Take risks for example - China Lesso Group Holdings has 2 warning signs we think you should be aware of.
Ultimately the future is most important. You can access this free report on analyst forecasts for the company.
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.
Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. 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.
私たちは、中国聯塑グループホールディングスに有意な投資をしているヘッジファンドがいないことに注目しています。私たちのデータから、株式の最大株主は69%の株式を保有するLuen Hei Wongです(彼はトップキーエグゼクティブの称号も持っています)。企業内部関係者が多数の株式を保有している場合、それは良い兆候と考えられます。この場合、私たちは企業内部関係者が重要なステークホルダーの役割を果たすことをうれしく思っています。第2位および第3位の最大株主は、The Vanguard Group, Inc.とDimensional Fund Advisors LPで、それぞれ1.2%の株式を所有しています。
オーストラリアでは、moomooの投資商品及びサービスはMoomoo Securities Australia Limitedによって提供され、オーストラリア証券投資委員会(ASIC)の管理を受けております(AFSL No. 224663)。「金融サービスガイド」、「利用規約」、「プライバシーポリシー」などの詳細は、Moomoo Securities Australia Limitedのウェブサイトhttps://www.moomoo.com/auでご確認いただけます。
オーストラリアでは、moomooの投資商品及びサービスはMoomoo Securities Australia Limitedによって提供され、オーストラリア証券投資委員会(ASIC)の管理を受けております(AFSL No. 224663)。「金融サービスガイド」、「利用規約」、「プライバシーポリシー」などの詳細は、Moomoo Securities Australia Limitedのウェブサイトhttps://www.moomoo.com/auでご確認いただけます。