Jiangsu Xiuqiang Glasswork Co., Ltd.'s (SZSE:300160) market cap dropped CN¥402m last week; Retail investors bore the brunt

Key Insights

• Jiangsu Xiuqiang Glasswork's significant retail investors ownership suggests that the key decisions are influenced by shareholders from the larger public
• A total of 5 investors have a majority stake in the company with 51% ownership
• Insider ownership in Jiangsu Xiuqiang Glasswork is 10%

Every investor in Jiangsu Xiuqiang Glasswork Co., Ltd. (SZSE:300160) should be aware of the most powerful shareholder groups. And the group that holds the biggest piece of the pie are retail investors with 41% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

As market cap fell to CN¥4.4b last week, retail investors would have faced the highest losses than any other shareholder groups of the company.

Let's delve deeper into each type of owner of Jiangsu Xiuqiang Glasswork, beginning with the chart below.

See our latest analysis for Jiangsu Xiuqiang Glasswork

What Does The Institutional Ownership Tell Us About Jiangsu Xiuqiang Glasswork?

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.

As you can see, institutional investors have a fair amount of stake in Jiangsu Xiuqiang Glasswork. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Xiuqiang Glasswork's earnings history below. Of course, the future is what really matters.

Jiangsu Xiuqiang Glasswork is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is Zhuhai Port Co.,Ltd. with 25% of shares outstanding. The second and third largest shareholders are Toptai (HK) Technology Co., Ltd. and Xiangqi Lu, with an equal amount of shares to their name at 8.4%. Xiangqi Lu, who is the third-largest shareholder, also happens to hold the title of Member of the Board of Directors.

Our research also brought to light the fact that roughly 51% of the company is controlled by the top 5 shareholders suggesting that these owners wield significant influence on the business.

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. 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 Jiangsu Xiuqiang Glasswork

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.

It seems insiders own a significant proportion of Jiangsu Xiuqiang Glasswork Co., Ltd.. It has a market capitalization of just CN¥4.4b, and insiders have CN¥447m worth of shares in their own names. We would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public-- including retail investors -- own 41% stake in the company, and hence can't easily be ignored. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.

Private Company Ownership

It seems that Private Companies own 16%, of the Jiangsu Xiuqiang Glasswork 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.

Public Company Ownership

It appears to us that public companies own 25% of Jiangsu Xiuqiang Glasswork. This may be a strategic interest and the two companies may have related business interests. It could be that they have de-merged. This holding is probably worth investigating further.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Jiangsu Xiuqiang Glasswork better, we need to consider many other factors. To that end, you should be aware of the 1 warning sign we've spotted with Jiangsu Xiuqiang Glasswork .

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.