Public companies among CIMC Enric Holdings Limited's (HKG:3899) largest shareholders, saw gain in holdings value after stock jumped 6.7% last week

Key Insights

• CIMC Enric Holdings' significant public companies ownership suggests that the key decisions are influenced by shareholders from the larger public
• 68% of the company is held by a single shareholder (China International Marine Containers (Group) Co., Ltd.)
• 12% of CIMC Enric Holdings is held by Institutions

A look at the shareholders of CIMC Enric Holdings Limited (HKG:3899) can tell us which group is most powerful. The group holding the most number of shares in the company, around 68% to be precise, is public companies. 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, public companies were the biggest beneficiaries of last week’s 6.7% gain.

Let's delve deeper into each type of owner of CIMC Enric Holdings, beginning with the chart below.

Check out our latest analysis for CIMC Enric Holdings

What Does The Institutional Ownership Tell Us About CIMC Enric Holdings?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

As you can see, institutional investors have a fair amount of stake in CIMC Enric Holdings. 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. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see CIMC Enric Holdings' historic earnings and revenue below, but keep in mind there's always more to the story.

We note that hedge funds don't have a meaningful investment in CIMC Enric Holdings. China International Marine Containers (Group) Co., Ltd. is currently the company's largest shareholder with 68% of shares outstanding. This implies that they have majority interest control of the future of the company. Rosefinch Fund Management Co., Ltd. is the second largest shareholder owning 2.5% of common stock, and Norges Bank Investment Management holds about 1.5% of the company stock.

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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of CIMC Enric Holdings

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. 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.

Our information suggests that CIMC Enric Holdings Limited insiders own under 1% of the company. Keep in mind that it's a big company, and the insiders own HK$37m 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, who are usually individual investors, hold a 20% stake in CIMC Enric Holdings. 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

Public companies currently own 68% of CIMC Enric Holdings 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:

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. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with CIMC Enric Holdings , and understanding them should be part of your investment process.

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.