Stock Analysis

Ningbo Jintian Copper (Group) Co., Ltd. (SHSE:601609) insiders, who hold 34% of the firm would be disappointed by the recent pullback

SHSE:601609
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Key Insights

  • Significant insider control over Ningbo Jintian Copper (Group) implies vested interests in company growth
  • A total of 2 investors have a majority stake in the company with 54% ownership
  • Past performance of a company along with ownership data serve to give a strong idea about prospects for a business

Every investor in Ningbo Jintian Copper (Group) Co., Ltd. (SHSE:601609) should be aware of the most powerful shareholder groups. And the group that holds the biggest piece of the pie are individual insiders with 34% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

As a result, insiders as a group endured the highest losses after market cap fell by CN¥409m.

Let's delve deeper into each type of owner of Ningbo Jintian Copper (Group), beginning with the chart below.

View our latest analysis for Ningbo Jintian Copper (Group)

ownership-breakdown
SHSE:601609 Ownership Breakdown July 16th 2024

What Does The Institutional Ownership Tell Us About Ningbo Jintian Copper (Group)?

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.

Less than 5% of Ningbo Jintian Copper (Group) is held by institutional investors. This suggests that some funds have the company in their sights, but many have not yet bought shares in it. So if the company itself can improve over time, we may well see more institutional buyers in the future. We sometimes see a rising share price when a few big institutions want to buy a certain stock at the same time. The history of earnings and revenue, which you can see below, could be helpful in considering if more institutional investors will want the stock. Of course, there are plenty of other factors to consider, too.

earnings-and-revenue-growth
SHSE:601609 Earnings and Revenue Growth July 16th 2024

Ningbo Jintian Copper (Group) is not owned by hedge funds. The company's largest shareholder is Ningbo Jintian Investment Holdings Co., Ltd., with ownership of 29%. Meanwhile, the second and third largest shareholders, hold 26% and 4.8%, of the shares outstanding, respectively. Guojun Lou, who is the third-largest shareholder, also happens to hold the title of Vice Chairman. In addition, we found that Cheng Lou, the CEO has 1.7% of the shares allocated to their name.

After doing some more digging, we found that the top 2 shareholders collectively control more than half of the company's shares, implying that they have considerable power to influence the company's decisions.

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. There is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of Ningbo Jintian Copper (Group)

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.

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 Ningbo Jintian Copper (Group) Co., Ltd.. Insiders own CN¥2.7b worth of shares in the CN¥8.0b company. That's quite meaningful. Most would say this shows a good degree of alignment with shareholders, especially in a company of this size. You can click here to see if those insiders have been buying or selling.

General Public Ownership

With a 31% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Ningbo Jintian Copper (Group). While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Private Company Ownership

We can see that Private Companies own 29%, of the shares on issue. 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 Ningbo Jintian Copper (Group) better, we need to consider many other factors. To that end, you should learn about the 2 warning signs we've spotted with Ningbo Jintian Copper (Group) (including 1 which doesn't sit too well with us) .

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.

Valuation is complex, but we're here to simplify it.

Discover if Ningbo Jintian Copper (Group) might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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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.