Retail investors who hold 36% of Easy Click Worldwide Network Technology Co., Ltd. (SZSE:301171) gained 9.7%, insiders profited as well

Key Insights

• Significant control over Easy Click Worldwide Network Technology by retail investors implies that the general public has more power to influence management and governance-related decisions
• A total of 9 investors have a majority stake in the company with 52% ownership
• Insider ownership in Easy Click Worldwide Network Technology is 34%

A look at the shareholders of Easy Click Worldwide Network Technology Co., Ltd. (SZSE:301171) can tell us which group is most powerful. The group holding the most number of shares in the company, around 36% to be precise, is retail investors. Put another way, the group faces the maximum upside potential (or downside risk).

While retail investors were the group that benefitted the most from last week’s CN¥576m market cap gain, insiders too had a 34% share in those profits.

In the chart below, we zoom in on the different ownership groups of Easy Click Worldwide Network Technology.

View our latest analysis for Easy Click Worldwide Network Technology

What Does The Institutional Ownership Tell Us About Easy Click Worldwide Network Technology?

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.

As you can see, institutional investors have a fair amount of stake in Easy Click Worldwide Network Technology. 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 Easy Click Worldwide Network Technology's earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in Easy Click Worldwide Network Technology. Xiaowu Zou is currently the company's largest shareholder with 25% of shares outstanding. Ningbo Zhongdian Equity Investment Partnership Enterprise (Limited Partnership) is the second largest shareholder owning 7.6% of common stock, and AEGON-Industrial Fund Management Co. Ltd. holds about 3.3% of the company stock.

We also observed that the top 9 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.

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. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track.

Insider Ownership Of Easy Click Worldwide Network Technology

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.

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.

Our most recent data indicates that insiders own a reasonable proportion of Easy Click Worldwide Network Technology Co., Ltd.. Insiders have a CN¥2.2b stake in this CN¥6.5b business. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.

General Public Ownership

The general public, who are usually individual investors, hold a 36% stake in Easy Click Worldwide Network Technology. 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.

Private Company Ownership

It seems that Private Companies own 11%, of the Easy Click Worldwide Network Technology stock. 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:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. For instance, we've identified 2 warning signs for Easy Click Worldwide Network Technology that you should be aware of.

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.