Public companies own 29% of Yangtze Optical Fibre And Cable Joint Stock Limited Company (HKG:6869) shares but retail investors control 35% of the company
Key Insights
- Yangtze Optical Fibre And Cable Limited's significant retail investors ownership suggests that the key decisions are influenced by shareholders from the larger public
- A total of 2 investors have a majority stake in the company with 51% ownership
- Using data from analyst forecasts alongside ownership research, one can better assess the future performance of a company
If you want to know who really controls Yangtze Optical Fibre And Cable Joint Stock Limited Company (HKG:6869), then you'll have to look at the makeup of its share registry. We can see that retail investors own the lion's share in the company with 35% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
And public companies on the other hand have a 29% ownership in the company.
Let's take a closer look to see what the different types of shareholders can tell us about Yangtze Optical Fibre And Cable Limited.
See our latest analysis for Yangtze Optical Fibre And Cable Limited
What Does The Institutional Ownership Tell Us About Yangtze Optical Fibre And Cable Limited?
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.
Yangtze Optical Fibre And Cable Limited already has institutions on the share registry. Indeed, they own a respectable stake in the company. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at Yangtze Optical Fibre And Cable Limited's earnings history below. Of course, the future is what really matters.
Yangtze Optical Fibre And Cable Limited is not owned by hedge funds. The company's largest shareholder is WuHan Yangtze Communication Industry GroupCo.,Ltd, with ownership of 29%. China Poly Group Corporation Limited is the second largest shareholder owning 22% of common stock, and Harvest Fund Management Co. Ltd. holds about 3.3% of the company stock.
After doing some more digging, we found that the top 2 shareholders collectively control more than half of the company's shares, implying that they have considerable power to influence the company's decisions.
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 Yangtze Optical Fibre And Cable Limited
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 Yangtze Optical Fibre And Cable Joint Stock Limited Company insiders own under 1% of the company. But they may have an indirect interest through a corporate structure that we haven't picked up on. Being so large, we would not expect insiders to own a large proportion of the stock. Collectively, they own HK$70m of stock. In this sort of situation, it can be more interesting to see if those insiders have been buying or selling.
General Public Ownership
With a 35% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Yangtze Optical Fibre And Cable Limited. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Private Company Ownership
Our data indicates that Private Companies hold 26%, of the company's shares. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.
Public Company Ownership
It appears to us that public companies own 29% of Yangtze Optical Fibre And Cable Limited. We can't be certain but it is quite possible this is a strategic stake. The businesses may be similar, or work together.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand Yangtze Optical Fibre And Cable Limited better, we need to consider many other factors. Case in point: We've spotted 2 warning signs for Yangtze Optical Fibre And Cable Limited you should be aware of.
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.