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Get Nice Holdings Limited's (HKG:64) Top Key Executive Hon Man Hung is the most upbeat insider, and their holdings increased by 11% last week
Key Insights
- Significant insider control over Get Nice Holdings implies vested interests in company growth
- Hon Man Hung owns 66% of the company
- Ownership research, combined with past performance data can help provide a good understanding of opportunities in a stock
A look at the shareholders of Get Nice Holdings Limited (HKG:64) can tell us which group is most powerful. We can see that individual insiders own the lion's share in the company with 66% ownership. 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, insiders scored the highest last week as the company hit HK$1.6b market cap following a 11% gain in the stock.
Let's delve deeper into each type of owner of Get Nice Holdings, beginning with the chart below.
Check out our latest analysis for Get Nice Holdings
What Does The Lack Of Institutional Ownership Tell Us About Get Nice Holdings?
Institutional investors often avoid companies that are too small, too illiquid or too risky for their tastes. But it's unusual to see larger companies without any institutional investors.
There are multiple explanations for why institutions don't own a stock. The most common is that the company is too small relative to funds under management, so the institution does not bother to look closely at the company. Alternatively, there might be something about the company that has kept institutional investors away. Get Nice Holdings' earnings and revenue track record (below) may not be compelling to institutional investors -- or they simply might not have looked at the business closely.
Get Nice Holdings is not owned by hedge funds. From our data, we infer that the largest shareholder is Hon Man Hung (who also holds the title of Top Key Executive) with 66% of shares outstanding. Its usually considered a good sign when insiders own a significant number of shares in the company, and in this case, we're glad to see a company insider play the role of a key stakeholder.
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. 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 Get Nice 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. 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.
It seems that insiders own more than half the Get Nice Holdings Limited stock. This gives them a lot of power. So they have a HK$1.1b stake in this HK$1.6b business. Most would be pleased to see the board is investing alongside them. You may wish todiscover (for free) if they have been buying or selling.
General Public Ownership
The general public-- including retail investors -- own 34% stake in the company, and hence can't easily be ignored. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand Get Nice Holdings better, we need to consider many other factors. For instance, we've identified 4 warning signs for Get Nice Holdings (1 is concerning) that you should be aware of.
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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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 SEHK:64
Get Nice Holdings
An investment holding company, engages in money lending, property development and holding, investment in financial instruments, real estate agency, and auction businesses in Hong Kong and the United Kingdom.
Flawless balance sheet and overvalued.