A look at the shareholders of Yutaka Giken Co.,Ltd. (TYO:7229) can tell us which group is most powerful. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. Companies that have been privatized tend to have low insider ownership.
Yutaka GikenLtd is not a large company by global standards. It has a market capitalization of JP¥28b, which means it wouldn't have the attention of many institutional investors. In the chart below, we can see that institutions own shares in the company. Let's delve deeper into each type of owner, to discover more about Yutaka GikenLtd.
View our latest analysis for Yutaka GikenLtd
What Does The Institutional Ownership Tell Us About Yutaka GikenLtd?
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.
As you can see, institutional investors have a fair amount of stake in Yutaka GikenLtd. 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. 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 Yutaka GikenLtd, (below). Of course, keep in mind that there are other factors to consider, too.
We note that hedge funds don't have a meaningful investment in Yutaka GikenLtd. Our data shows that Honda Motor Co., Ltd. is the largest shareholder with 70% of shares outstanding. This implies that they have majority interest control of the future of the company. FMR LLC is the second largest shareholder owning 9.5% of common stock, and Yutaka Giken Co. Ltd., ESOP holds about 2.2% of the company stock.
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 I can tell there isn't analyst coverage of the company, so it is probably flying under the radar.
Insider Ownership Of Yutaka GikenLtd
While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.
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.
Our data suggests that insiders own under 1% of Yutaka Giken Co.,Ltd. in their own names. It has a market capitalization of just JP¥28b, and the board has only JP¥152m worth of shares in their own names. Many tend to prefer to see a board with bigger shareholdings. A good next step might be to take a look at this free summary of insider buying and selling.
General Public Ownership
With a 12% ownership, the general public have some degree of sway over Yutaka GikenLtd. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Public Company Ownership
We can see that public companies hold 70% of the Yutaka GikenLtd shares on issue. 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 Yutaka GikenLtd better, we need to consider many other factors. To that end, you should learn about the 3 warning signs we've spotted with Yutaka GikenLtd (including 1 which can't be ignored) .
Of course this may not be the best stock to buy. So take a peek at this free free list of interesting companies.
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. 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.
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About TSE:7229
Yutaka GikenLtd
Manufactures and sells automobile parts in Japan, North America, China, Asia, and internationally.
Flawless balance sheet with solid track record and pays a dividend.
