Shanjin International Gold Co., Ltd. (SZSE:000975) stock most popular amongst individual investors who own 30%, while public companies hold 29%

Key Insights

• Significant control over Shanjin International Gold by individual investors implies that the general public has more power to influence management and governance-related decisions
• A total of 6 investors have a majority stake in the company with 51% ownership
• 15% of Shanjin International Gold is held by insiders

A look at the shareholders of Shanjin International Gold Co., Ltd. (SZSE:000975) can tell us which group is most powerful. The group holding the most number of shares in the company, around 30% to be precise, is individual investors. Put another way, the group faces the maximum upside potential (or downside risk).

Meanwhile, public companies make up 29% of the company’s shareholders.

Let's take a closer look to see what the different types of shareholders can tell us about Shanjin International Gold.

See our latest analysis for Shanjin International Gold

What Does The Institutional Ownership Tell Us About Shanjin International Gold?

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.

Shanjin International Gold 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. 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 Shanjin International Gold, (below). Of course, keep in mind that there are other factors to consider, too.

Hedge funds don't have many shares in Shanjin International Gold. Our data shows that Shandong Gold Mining Co., Ltd. is the largest shareholder with 29% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 12% and 3.3%, of the shares outstanding, respectively.

On further inspection, we found that more than half the company's shares are owned by the top 6 shareholders, suggesting that the interests of the larger shareholders are balanced out to an extent by the smaller ones.

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 Shanjin International Gold

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.

It seems insiders own a significant proportion of Shanjin International Gold Co., Ltd.. Insiders own CN¥6.6b worth of shares in the CN¥44b 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

The general public, who are usually individual investors, hold a 30% stake in Shanjin International Gold. 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.

Public Company Ownership

It appears to us that public companies own 29% of Shanjin International Gold. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Shanjin International Gold better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 1 warning sign for Shanjin International Gold you should know about.

Ultimately the future is most important. You can access this free report on analyst forecasts for the company.

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.