Yoshimichi Tani KeePer Technical Laboratory Co., Ltd.'s (TSE:6036) CEO is the most bullish insider, and their stock value gained 8.6%last week

Key Insights

• KeePer Technical Laboratory's significant insider ownership suggests inherent interests in company's expansion
• The top 4 shareholders own 50% of the company
• Institutions own 17% of KeePer Technical Laboratory

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Every investor in KeePer Technical Laboratory Co., Ltd. (TSE:6036) should be aware of the most powerful shareholder groups. And the group that holds the biggest piece of the pie are individual insiders with 51% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Clearly, insiders benefitted the most after the company's market cap rose by JP¥8.6b last week.

Let's delve deeper into each type of owner of KeePer Technical Laboratory, beginning with the chart below.

See our latest analysis for KeePer Technical Laboratory

What Does The Institutional Ownership Tell Us About KeePer Technical Laboratory?

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.

We can see that KeePer Technical Laboratory does have institutional investors; and they hold a good portion of the company's stock. 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 KeePer Technical Laboratory's historic earnings and revenue below, but keep in mind there's always more to the story.

KeePer Technical Laboratory is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is the CEO Yoshimichi Tani with 21% of shares outstanding. For context, the second largest shareholder holds about 17% of the shares outstanding, followed by an ownership of 7.3% by the third-largest shareholder.

Our research also brought to light the fact that roughly 50% of the company is controlled by the top 4 shareholders suggesting that these owners wield significant influence on the business.

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. There is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of KeePer Technical Laboratory

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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.

It seems that insiders own more than half the KeePer Technical Laboratory Co., Ltd. stock. This gives them a lot of power. Given it has a market cap of JP¥109b, that means they have JP¥55b worth of shares. 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

With a 28% ownership, the general public, mostly comprising of individual investors, have some degree of sway over KeePer Technical Laboratory. 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

Public companies currently own 4.7% of KeePer Technical Laboratory stock. This may be a strategic interest and the two companies may have related business interests. It could be that they have de-merged. This holding is probably worth investigating further.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with KeePer Technical Laboratory , and understanding them should be part of your investment process.

But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter future.

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.