Stock Analysis

Retail investors are Inner Mongolia Xingye Silver &Tin Mining Co.,Ltd's (SZSE:000426) biggest owners and were hit after market cap dropped CN¥2.2b

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SZSE:000426

Key Insights

A look at the shareholders of Inner Mongolia Xingye Silver &Tin Mining Co.,Ltd (SZSE:000426) can tell us which group is most powerful. With 43% stake, retail investors possess the maximum shares in the company. Put another way, the group faces the maximum upside potential (or downside risk).

As market cap fell to CN¥22b last week, retail investors would have faced the highest losses than any other shareholder groups of the company.

Let's take a closer look to see what the different types of shareholders can tell us about Inner Mongolia Xingye Silver &Tin MiningLtd.

View our latest analysis for Inner Mongolia Xingye Silver &Tin MiningLtd

SZSE:000426 Ownership Breakdown October 9th 2024

What Does The Institutional Ownership Tell Us About Inner Mongolia Xingye Silver &Tin MiningLtd?

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 Inner Mongolia Xingye Silver &Tin MiningLtd. 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. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Inner Mongolia Xingye Silver &Tin MiningLtd, (below). Of course, keep in mind that there are other factors to consider, too.

SZSE:000426 Earnings and Revenue Growth October 9th 2024

We note that hedge funds don't have a meaningful investment in Inner Mongolia Xingye Silver &Tin MiningLtd. Inner-Mongolia Industrial Group Co., Ltd. is currently the company's largest shareholder with 27% of shares outstanding. Funde Sino Life Insurance Co., Ltd., Asset Management Arm is the second largest shareholder owning 8.8% of common stock, and Chifeng Fulong Public (Group) Co., Ltd. holds about 5.0% of the company stock.

A closer look at our ownership figures suggests that the top 12 shareholders have a combined ownership of 51% implying that no single shareholder has a majority.

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 Inner Mongolia Xingye Silver &Tin MiningLtd

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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 most recent data indicates that insiders own less than 1% of Inner Mongolia Xingye Silver &Tin Mining Co.,Ltd. However, it's possible that insiders might have an indirect interest through a more complex structure. Keep in mind that it's a big company, and the insiders own CN¥172m worth of shares. The absolute value might be more important than the proportional share. Arguably, recent buying and selling is just as important to consider. You can click here to see if insiders have been buying or selling.

General Public Ownership

The general public-- including retail investors -- own 43% 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.

Private Company Ownership

Our data indicates that Private Companies hold 32%, of the company's shares. 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:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Take risks for example - Inner Mongolia Xingye Silver &Tin MiningLtd has 1 warning sign we think 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.