Retail investors among SungEel HiTech Co., Ltd.'s (KOSDAQ:365340) largest stockholders and were hit after last week's 13% price drop
Key Insights
- SungEel HiTech's significant retail investors ownership suggests that the key decisions are influenced by shareholders from the larger public
- 51% of the business is held by the top 5 shareholders
- Insiders own 38% of SungEel HiTech
A look at the shareholders of SungEel HiTech Co., Ltd. (KOSDAQ:365340) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are retail investors with 45% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
While insiders, who own 38% shares weren’t spared from last week’s ₩65b market cap drop, retail investors as a group suffered the maximum losses
In the chart below, we zoom in on the different ownership groups of SungEel HiTech.
View our latest analysis for SungEel HiTech
What Does The Institutional Ownership Tell Us About SungEel HiTech?
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.
Less than 5% of SungEel HiTech is held by institutional investors. This suggests that some funds have the company in their sights, but many have not yet bought shares in it. 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.
SungEel HiTech is not owned by hedge funds. The company's CEO Kangmyung Lee is the largest shareholder with 19% of shares outstanding. With 13% and 8.6% of the shares outstanding respectively, Kyungyeol Lee and Samsung SDI Co., Ltd. are the second and third largest shareholders. Interestingly, the second-largest shareholder, Kyungyeol Lee is also Chief Operating Officer, again, pointing towards strong insider ownership amongst the company's top shareholders.
To make our study more interesting, we found that the top 5 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.
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 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 SungEel HiTech
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.
I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.
Our information suggests that insiders maintain a significant holding in SungEel HiTech Co., Ltd.. Insiders have a ₩159b stake in this ₩422b business. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.
General Public Ownership
With a 45% ownership, the general public, mostly comprising of individual investors, have some degree of sway over SungEel HiTech. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.
Public Company Ownership
It appears to us that public companies own 13% of SungEel HiTech. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.
Next Steps:
I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Be aware that SungEel HiTech is showing 1 warning sign in our investment analysis , 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.