U-NEXT HOLDINGS Co.,Ltd. (TSE:9418) CEO Yasuhide Uno's holdings dropped 5.0% in value as a result of the recent pullback

Key Insights

• U-NEXT HOLDINGSLtd's significant insider ownership suggests inherent interests in company's expansion
• The largest shareholder of the company is Yasuhide Uno with a 57% stake
• 13% of U-NEXT HOLDINGSLtd is held by Institutions

If you want to know who really controls U-NEXT HOLDINGS Co.,Ltd. (TSE:9418), 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 60% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

And following last week's 5.0% decline in share price, insiders suffered the most losses.

Let's delve deeper into each type of owner of U-NEXT HOLDINGSLtd, beginning with the chart below.

See our latest analysis for U-NEXT HOLDINGSLtd

What Does The Institutional Ownership Tell Us About U-NEXT HOLDINGSLtd?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

We can see that U-NEXT HOLDINGSLtd 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 U-NEXT HOLDINGSLtd's historic earnings and revenue below, but keep in mind there's always more to the story.

U-NEXT HOLDINGSLtd is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is the CEO Yasuhide Uno with 57% of shares outstanding. With such a huge stake, we infer that they have significant control of the future of the company. It's usually considered a good sign when insiders own a significant number of shares in the company, and in this case, we're glad to see a company insider with such skin in the game. Meanwhile, the second and third largest shareholders, hold 5.7% and 4.0%, of the shares outstanding, respectively.

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. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of U-NEXT HOLDINGSLtd

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. 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 the majority of U-NEXT HOLDINGS Co.,Ltd.. This means they can collectively make decisions for the company. Given it has a market cap of JP¥318b, that means insiders have a whopping JP¥190b worth of shares in their own names. It is good to see this level of investment. You can check here to see if those insiders have been selling any of their shares.

General Public Ownership

With a 20% ownership, the general public, mostly comprising of individual investors, have some degree of sway over U-NEXT HOLDINGSLtd. 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.

Public Company Ownership

Public companies currently own 7.1% of U-NEXT HOLDINGSLtd 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:

It's always worth thinking about the different groups who own shares in a company. But to understand U-NEXT HOLDINGSLtd better, we need to consider many other factors.

I like to dive deeper into how a company has performed in the past. You can access this interactive graph of past earnings, revenue and cash flow, for free.

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.