Zaggle Prepaid Ocean Services Limited's (NSE:ZAGGLE) largest shareholder, Top Key Executive Raj Narayanam sees holdings value fall by 11% following recent drop

Key Insights

• Zaggle Prepaid Ocean Services' significant insider ownership suggests inherent interests in company's expansion
• 51% of the business is held by the top 5 shareholders
• Institutions own 24% of Zaggle Prepaid Ocean Services

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If you want to know who really controls Zaggle Prepaid Ocean Services Limited (NSE:ZAGGLE), 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 individual insiders with 45% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

As market cap fell to ₹42b last week, insiders would have faced the highest losses than any other shareholder groups of the company.

Let's take a closer look to see what the different types of shareholders can tell us about Zaggle Prepaid Ocean Services.

See 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.

We can see that Zaggle Prepaid Ocean Services does have institutional investors; and they hold a good portion of the company's stock. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Zaggle Prepaid Ocean Services' historic earnings and revenue below, but keep in mind there's always more to the story.

Zaggle Prepaid Ocean Services is not owned by hedge funds. Our data suggests that Raj Narayanam, who is also the company's Top Key Executive, holds the most number of shares at 34%. When an insider holds a sizeable amount of a company's stock, investors consider it as a positive sign because it suggests that insiders are willing to have their wealth tied up in the future of the company. Avinash Godkhindi is the second largest shareholder owning 5.7% of common stock, and Zuzu Software Services Private Limited holds about 4.1% of the company stock. Interestingly, the second-largest shareholder, Avinash Godkhindi is also Chief Executive Officer, again, pointing towards strong insider ownership amongst the company's top shareholders.

To make our study more interesting, we found that the top 5 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.

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 an insider can differ slightly between different countries, but members of the board of directors always count. 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 Zaggle Prepaid Ocean Services Limited. Insiders have a ₹19b stake in this ₹42b business. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.

General Public Ownership

With a 23% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Zaggle Prepaid Ocean Services. 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.

Private Company Ownership

It seems that Private Companies own 8.2%, of the Zaggle Prepaid Ocean Services 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. Take risks for example - Zaggle Prepaid Ocean Services has 1 warning sign we think 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.