Following recent decline, YanKer shop Food Co.,Ltd's (SZSE:002847) top shareholder CEO Xuewu Zhang sees holdings value drop by 3.3%

Key Insights

• Significant insider control over YanKer shop FoodLtd implies vested interests in company growth
• The top 2 shareholders own 63% of the company
• Institutions own 15% of YanKer shop FoodLtd

A look at the shareholders of YanKer shop Food Co.,Ltd (SZSE:002847) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are individual insiders with 65% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

And last week, insiders endured the biggest losses as the stock fell by 3.3%.

Let's delve deeper into each type of owner of YanKer shop FoodLtd, beginning with the chart below.

View 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.

As you can see, institutional investors have a fair amount of stake in YanKer shop FoodLtd. 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 YanKer shop FoodLtd's earnings history below. Of course, the future is what really matters.

YanKer shop FoodLtd is not owned by hedge funds. With a 48% stake, CEO Xuewu Zhang is the largest shareholder. Meanwhile, the second and third largest shareholders, hold 15% and 2.5%, of the shares outstanding, respectively.

A more detailed study of the shareholder registry showed us that 2 of the top shareholders have a considerable amount of ownership in the company, via their 63% stake.

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. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of YanKer shop FoodLtd

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.

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 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¥9.3b worth of shares in the CN¥14b company. That's extraordinary! 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-- including retail investors -- own 20% stake in the company, and hence can't easily be ignored. 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 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.