Zaggle Prepaid Ocean Services Limited (NSE:ZAGGLE) Top Key Executive Raj Narayanam, the company's largest shareholder sees 8.6%reduction in holdings value

Key Insights

• Significant insider control over Zaggle Prepaid Ocean Services implies vested interests in company growth
• A total of 3 investors have a majority stake in the company with 53% ownership
• 23% of Zaggle Prepaid Ocean Services is held by Institutions

A look at the shareholders of Zaggle Prepaid Ocean Services Limited (NSE:ZAGGLE) can tell us which group is most powerful. With 49% stake, individual insiders possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

And following last week's 8.6% decline in share price, insiders suffered the most losses.

Let's delve deeper into each type of owner of Zaggle Prepaid Ocean Services, beginning with the chart below.

View our latest analysis for Zaggle Prepaid Ocean Services

What Does The Institutional Ownership Tell Us About Zaggle Prepaid Ocean Services?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

Zaggle Prepaid Ocean Services 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. 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 Zaggle Prepaid Ocean Services' earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in Zaggle Prepaid Ocean Services. Because actions speak louder than words, we consider it a good sign when insiders own a significant stake in a company. In Zaggle Prepaid Ocean Services' case, its Top Key Executive, Raj Narayanam, is the largest shareholder, holding 38% of shares outstanding. With 8.8% and 6.2% of the shares outstanding respectively, Zuzu Software Services Private Limited and Avinash Godkhindi are the second and third largest shareholders. Interestingly, the third-largest shareholder, Avinash Godkhindi is also a Member of the Board of Directors, again, indicating strong insider ownership amongst the company's top shareholders.

A more detailed study of the shareholder registry showed us that 3 of the top shareholders have a considerable amount of ownership in the company, via their 53% stake.

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. 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 Zaggle Prepaid Ocean Services

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. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.

It seems insiders own a significant proportion of Zaggle Prepaid Ocean Services Limited. It has a market capitalization of just ₹50b, and insiders have ₹24b worth of shares in their own names. We would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public-- including retail investors -- own 20% stake in the company, and hence can't easily be ignored. 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

We can see that Private Companies own 8.8%, of the shares on issue. 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.

I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.

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.