Stock Analysis

Ccoop Group Co., Ltd's (SZSE:000564) largest shareholders are retail investors who were rewarded as market cap surged CN¥6.9b last week

SZSE:000564
Source: Shutterstock

Key Insights

  • Ccoop Group's significant retail investors ownership suggests that the key decisions are influenced by shareholders from the larger public
  • 45% of the business is held by the top 25 shareholders
  • Institutional ownership in Ccoop Group is 11%

If you want to know who really controls Ccoop Group Co., Ltd (SZSE:000564), then you'll have to look at the makeup of its share registry. And the group that holds the biggest piece of the pie are retail investors with 55% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

As a result, retail investors were the biggest beneficiaries of last week’s 15% gain.

Let's delve deeper into each type of owner of Ccoop Group, beginning with the chart below.

Check out our latest analysis for Ccoop Group

ownership-breakdown
SZSE:000564 Ownership Breakdown February 11th 2025

What Does The Institutional Ownership Tell Us About Ccoop 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.

Ccoop Group already has institutions on the share registry. Indeed, they own a respectable stake in the company. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. 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 Ccoop Group, (below). Of course, keep in mind that there are other factors to consider, too.

earnings-and-revenue-growth
SZSE:000564 Earnings and Revenue Growth February 11th 2025

Ccoop Group is not owned by hedge funds. All China Federation of Supply and Marketing Cooperatives is currently the company's largest shareholder with 7.4% of shares outstanding. With 6.5% and 5.1% of the shares outstanding respectively, Beijing Zhonghe Rural Credit Enterprise Management Consulting Co., Ltd and HNA Group Bankruptcy Reorganisation Specialised Service Trust are the second and third largest shareholders.

A deeper look at our ownership data shows that the top 25 shareholders collectively hold less than half of the register, suggesting a large group of small holders where no single shareholder has a majority.

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. As far as we can tell there isn't analyst coverage of the company, so it is probably flying under the radar.

Insider Ownership Of Ccoop Group

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

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 less than 1% of Ccoop Group Co., Ltd. But they may have an indirect interest through a corporate structure that we haven't picked up on. It is a pretty big company, so it would be possible for board members to own a meaningful interest in the company, without owning much of a proportional interest. In this case, they own around CN¥4.0m worth of shares (at current prices). It is good to see board members owning shares, but it might be worth checking if those insiders have been buying.

General Public Ownership

The general public -- including retail investors -- own 55% of Ccoop Group. With this amount of ownership, retail investors can collectively play a role in decisions that affect shareholder returns, such as dividend policies and the appointment of directors. They can also exercise the power to vote on acquisitions or mergers that may not improve profitability.

Private Company Ownership

We can see that Private Companies own 29%, of the shares on issue. Private companies may be related parties. Sometimes insiders have an interest in a public company through a holding in a private company, rather than in their own capacity as an individual. While it's hard to draw any broad stroke conclusions, it is worth noting as an area for further research.

Public Company Ownership

Public companies currently own 5.1% of Ccoop Group stock. We can't be certain but it is quite possible this is a strategic stake. The businesses may be similar, or work together.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Ccoop Group better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 2 warning signs for Ccoop Group you should know about.

If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, backed by strong financial data.

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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Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.

About SZSE:000564

Ccoop Group

Engages in the retail, supply and marketing, financial, and logistics business in China and internationally.

Excellent balance sheet very low.

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