CEO Xuewu Zhang, YanKer shop Food Co.,Ltd's (SZSE:002847) largest shareholder sees value of holdings go down 5.8% after recent drop

Key Insights

• YanKer shop FoodLtd's significant insider ownership suggests inherent interests in company's expansion
• The top 2 shareholders own 63% of the company
• Institutions own 16% of YanKer shop FoodLtd

Every investor in YanKer shop Food Co.,Ltd (SZSE:002847) should be aware of the most powerful shareholder groups. We can see that individual insiders own the lion's share in the company with 65% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

As market cap fell to CN¥15b last week, insiders would have faced the highest losses than any other shareholder groups of the company.

In the chart below, we zoom in on the different ownership groups of YanKer shop FoodLtd.

See our latest analysis for YanKer shop FoodLtd

What Does The Institutional Ownership Tell Us About YanKer shop FoodLtd?

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.

YanKer shop FoodLtd already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see YanKer shop FoodLtd's historic earnings and revenue below, but keep in mind there's always more to the story.

YanKer shop FoodLtd is not owned by hedge funds. The company's CEO Xuewu Zhang is the largest shareholder with 48% of shares outstanding. With 15% and 2.5% of the shares outstanding respectively, Xuewen Zhang and National Council for Social Security Fund are the second and third largest shareholders.

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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of YanKer shop FoodLtd

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. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.

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 information suggests that insiders own more than half of YanKer shop Food Co.,Ltd. This gives them effective control of the company. Insiders own CN¥9.5b worth of shares in the CN¥15b company. That's extraordinary! It is good to see this level of investment. You can check here to see if those insiders have been selling any of their shares.

General Public Ownership

With a 19% ownership, the general public, mostly comprising of individual investors, have some degree of sway over YanKer shop FoodLtd. 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 YanKer shop FoodLtd better, we need to consider many other factors. For instance, we've identified 1 warning sign for YanKer shop FoodLtd that you should be aware of.

If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.

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.