Stock Analysis

Retail investors are Anhui Bossco Environmental Protection Technology Co.,Ltd.'s (SZSE:300422) biggest owners and were rewarded after market cap rose by CN¥272m last week

SZSE:300422
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Key Insights

Every investor in Anhui Bossco Environmental Protection Technology Co.,Ltd. (SZSE:300422) should be aware of the most powerful shareholder groups. The group holding the most number of shares in the company, around 53% to be precise, is retail investors. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

As a result, retail investors collectively scored the highest last week as the company hit CN¥2.3b market cap following a 14% gain in the stock.

Let's take a closer look to see what the different types of shareholders can tell us about Anhui Bossco Environmental Protection TechnologyLtd.

View our latest analysis for Anhui Bossco Environmental Protection TechnologyLtd

ownership-breakdown
SZSE:300422 Ownership Breakdown September 29th 2024

What Does The Institutional Ownership Tell Us About Anhui Bossco Environmental Protection TechnologyLtd?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

Since institutions own only a small portion of Anhui Bossco Environmental Protection TechnologyLtd, many may not have spent much time considering the stock. But it's clear that some have; and they liked it enough to buy in. So if the company itself can improve over time, we may well see more institutional buyers in the future. When multiple institutional investors want to buy shares, we often see a rising share price. The past revenue trajectory (shown below) can be an indication of future growth, but there are no guarantees.

earnings-and-revenue-growth
SZSE:300422 Earnings and Revenue Growth September 29th 2024

Anhui Bossco Environmental Protection TechnologyLtd is not owned by hedge funds. Our data shows that GZ environmental protection investment group co.,ltd. is the largest shareholder with 19% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 9.8% and 9.4%, of the shares outstanding, respectively. In addition, we found that Hai Nong Song, the CEO has 1.9% of the shares allocated to their name.

Our studies suggest that the top 25 shareholders collectively control less than half of the company's shares, meaning that the company's shares are widely disseminated and there is no dominant shareholder.

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. Our information suggests that there isn't any analyst coverage of the stock, so it is probably little known.

Insider Ownership Of Anhui Bossco Environmental Protection TechnologyLtd

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.

Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.

Our most recent data indicates that insiders own a reasonable proportion of Anhui Bossco Environmental Protection Technology Co.,Ltd.. Insiders own CN¥369m worth of shares in the CN¥2.3b company. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.

General Public Ownership

The general public -- including retail investors -- own 53% of Anhui Bossco Environmental Protection TechnologyLtd. This level of ownership gives investors from the wider public some power to sway key policy decisions such as board composition, executive compensation, and the dividend payout ratio.

Private Company Ownership

It seems that Private Companies own 29%, of the Anhui Bossco Environmental Protection TechnologyLtd stock. 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.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Anhui Bossco Environmental Protection TechnologyLtd better, we need to consider many other factors. Consider for instance, the ever-present spectre of investment risk. We've identified 2 warning signs with Anhui Bossco Environmental Protection TechnologyLtd (at least 1 which is concerning) , and understanding them should be part of your investment process.

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.