Key Insights
- Insiders appear to have a vested interest in Excellence Commercial Property & Facilities Management Group's growth, as seen by their sizeable ownership
- The largest shareholder of the company is Li Wa with a 59% stake
- Ownership research, combined with past performance data can help provide a good understanding of opportunities in a stock
A look at the shareholders of Excellence Commercial Property & Facilities Management Group Limited (HKG:6989) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are individual insiders with 74% 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 13% decline in share price, insiders suffered the most losses.
In the chart below, we zoom in on the different ownership groups of Excellence Commercial Property & Facilities Management Group.
View our latest analysis for Excellence Commercial Property & Facilities Management Group
What Does The Institutional Ownership Tell Us About Excellence Commercial Property & Facilities Management Group?
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 Excellence Commercial Property & Facilities Management Group 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 business gets stronger from here, we could see a situation where more institutions are keen to buy. It is not uncommon to see a big share price rise if multiple institutional investors are trying to buy into a stock at the same time. So check out the historic earnings trajectory, below, but keep in mind it's the future that counts most.
Excellence Commercial Property & Facilities Management Group is not owned by hedge funds. The company's largest shareholder is Li Wa, with ownership of 59%. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. Meanwhile, the second and third largest shareholders, hold 9.7% and 5.2%, of the shares outstanding, respectively. Xiaoping Li, who is the second-largest shareholder, also happens to hold the title of Top Key Executive.
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. As far as we can tell there isn't analyst coverage of the company, so it is probably flying under the radar.
Insider Ownership Of Excellence Commercial Property & Facilities Management Group
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.
Our most recent data indicates that insiders own the majority of Excellence Commercial Property & Facilities Management Group Limited. This means they can collectively make decisions for the company. Given it has a market cap of HK$1.5b, that means they have HK$1.1b worth of shares. 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
The general public-- including retail investors -- own 24% 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:
It's always worth thinking about the different groups who own shares in a company. But to understand Excellence Commercial Property & Facilities Management Group better, we need to consider many other factors. To that end, you should learn about the 3 warning signs we've spotted with Excellence Commercial Property & Facilities Management Group (including 2 which don't sit too well with us) .
Of course this may not be the best stock to buy. Therefore, you may wish to see our free collection of interesting prospects boasting favorable financials.
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.