Stock Analysis

Masaki Yamamoto kubell Co., Ltd.'s (TSE:4448) CEO is the most bullish insider, and their stock value gained 13%last week

Published
TSE:4448

Key Insights

  • Significant insider control over kubell implies vested interests in company growth
  • 54% of the company is held by a single shareholder (Masaki Yamamoto)
  • Past performance of a company along with ownership data serve to give a strong idea about prospects for a business

If you want to know who really controls kubell Co., Ltd. (TSE:4448), then you'll have to look at the makeup of its share registry. We can see that individual insiders own the lion's share in the company with 58% 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¥3.3b last week.

In the chart below, we zoom in on the different ownership groups of kubell.

View our latest analysis for kubell

TSE:4448 Ownership Breakdown December 13th 2024

What Does The Institutional Ownership Tell Us About kubell?

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 kubell does have institutional investors; and they hold a good portion of the company's stock. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. 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 kubell's historic earnings and revenue below, but keep in mind there's always more to the story.

TSE:4448 Earnings and Revenue Growth December 13th 2024

kubell is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is the CEO Masaki Yamamoto with 54% of shares outstanding. This implies that they possess majority interests and have significant control over the company. Investors usually consider it a good sign when the company leadership has such a significant stake, as this is widely perceived to increase the chance that the management will act in the best interests of the company. With 4.8% and 2.5% of the shares outstanding respectively, Asset Management One Co., Ltd. and Masayuki Yamaguchi are the second and third largest shareholders.

Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. We're not picking up on any analyst coverage of the stock at the moment, so the company is unlikely to be widely held.

Insider Ownership Of kubell

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.

Our most recent data indicates that insiders own the majority of kubell Co., Ltd.. This means they can collectively make decisions for the company. Given it has a market cap of JP¥28b, that means they have JP¥16b worth of shares. Most would argue this is a positive, showing strong alignment with shareholders. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public-- including retail investors -- own 32% stake in the company, and hence can't easily be ignored. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

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. Be aware that kubell is showing 3 warning signs in our investment analysis , and 1 of those doesn't sit too well with us...

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. 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.