Insiders were the biggest winners as Jiangsu Haili Wind Power Equipment Technology Co., Ltd.'s (SZSE:301155) market cap grew by CN¥1.5b last week

Key Insights

• Insiders appear to have a vested interest in Jiangsu Haili Wind Power Equipment Technology's growth, as seen by their sizeable ownership
• 56% of the business is held by the top 3 shareholders
• Ownership research along with analyst forecasts data help provide a good understanding of opportunities in a stock

If you want to know who really controls Jiangsu Haili Wind Power Equipment Technology Co., Ltd. (SZSE:301155), then you'll have to look at the makeup of its share registry. And the group that holds the biggest piece of the pie are individual insiders with 58% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

As a result, insiders scored the highest last week as the company hit CN¥11b market cap following a 16% gain in the stock.

Let's take a closer look to see what the different types of shareholders can tell us about Jiangsu Haili Wind Power Equipment Technology.

View our latest analysis for Jiangsu Haili Wind Power Equipment Technology

What Does The Institutional Ownership Tell Us About Jiangsu Haili Wind Power Equipment Technology?

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 Jiangsu Haili Wind Power Equipment Technology. 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 Jiangsu Haili Wind Power Equipment Technology's earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in Jiangsu Haili Wind Power Equipment Technology. Shijun Xu is currently the largest shareholder, with 32% of shares outstanding. Chengchen Xu is the second largest shareholder owning 14% of common stock, and Dequan Sha holds about 10.0% of the company stock. Interestingly, the bottom two of the top three shareholders also hold the title of Senior Key Executive and Member of the Board of Directors, respectively, suggesting that these insiders have a personal stake in the company.

After doing some more digging, we found that the top 3 shareholders collectively control more than half of the company's shares, implying that they have considerable power to influence the company's decisions.

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 Jiangsu Haili Wind Power Equipment Technology

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

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 most recent data indicates that insiders own the majority of Jiangsu Haili Wind Power Equipment Technology Co., Ltd.. This means they can collectively make decisions for the company. That means insiders have a very meaningful CN¥6.5b stake in this CN¥11b business. Most would be pleased to see the board is investing alongside them. You may wish to discover if they have been buying or selling.

General Public Ownership

The general public, who are usually individual investors, hold a 30% stake in Jiangsu Haili Wind Power Equipment Technology. 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.

Private Company Ownership

We can see that Private Companies own 4.4%, of the shares on issue. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Jiangsu Haili Wind Power Equipment Technology better, we need to consider many other factors.

I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.

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.