Insiders are the top stockholders in SSAW Hotels & Resorts Group Co.,Ltd. (SZSE:301073), and the recent 14% drop might have disappointed them

Key Insights

• Insiders appear to have a vested interest in SSAW Hotels & Resorts GroupLtd's growth, as seen by their sizeable ownership
• The top 2 shareholders own 52% of the company
• Institutional ownership in SSAW Hotels & Resorts GroupLtd is 15%

If you want to know who really controls SSAW Hotels & Resorts Group Co.,Ltd. (SZSE:301073), then you'll have to look at the makeup of its share registry. We can see that individual insiders own the lion's share in the company with 63% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

As a result, insiders as a group endured the highest losses after market cap fell by CN¥601m.

Let's delve deeper into each type of owner of SSAW Hotels & Resorts GroupLtd, beginning with the chart below.

View our latest analysis for SSAW Hotels & Resorts GroupLtd

What Does The Institutional Ownership Tell Us About SSAW Hotels & Resorts GroupLtd?

Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.

We can see that SSAW Hotels & Resorts GroupLtd does have institutional investors; and they hold a good portion of the company's stock. 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 SSAW Hotels & Resorts GroupLtd's earnings history below. Of course, the future is what really matters.

We note that hedge funds don't have a meaningful investment in SSAW Hotels & Resorts GroupLtd. The company's largest shareholder is Qiyuan Wu, with ownership of 34%. With 18% and 9.6% of the shares outstanding respectively, Bo Cong and Chenning Shi are the second and third largest shareholders. Chenning Shi, who is the third-largest shareholder, also happens to hold the title of Member of the Board of Directors.

To make our study more interesting, we found that the top 2 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of the company.

While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of SSAW Hotels & Resorts GroupLtd

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.

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 SSAW Hotels & Resorts Group Co.,Ltd.. This means they can collectively make decisions for the company. That means they own CN¥2.4b worth of shares in the CN¥3.8b company. That's quite meaningful. Most would be pleased to see the board is investing alongside them. You may wish todiscover (for free) if they have been buying or selling.

General Public Ownership

The general public, who are usually individual investors, hold a 22% stake in SSAW Hotels & Resorts GroupLtd. 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.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand SSAW Hotels & Resorts GroupLtd better, we need to consider many other factors. Take risks for example - SSAW Hotels & Resorts GroupLtd has 3 warning signs we think 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.