Stock Analysis

How Much Of Gentrogroup.Co.,Ltd. (KOSDAQ:083660) Do Insiders Own?

KOSDAQ:A083660
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If you want to know who really controls Gentrogroup.Co.,Ltd. (KOSDAQ:083660), then you'll have to look at the makeup of its share registry. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. I quite like to see at least a little bit of insider ownership. As Charlie Munger said 'Show me the incentive and I will show you the outcome.

With a market capitalization of â‚©111b, Gentrogroup.Co.Ltd is a small cap stock, so it might not be well known by many institutional investors. In the chart below, we can see that institutional investors have not yet purchased shares. Let's delve deeper into each type of owner, to discover more about Gentrogroup.Co.Ltd.

View our latest analysis for Gentrogroup.Co.Ltd

ownership-breakdown
KOSDAQ:A083660 Ownership Breakdown February 23rd 2021

What Does The Lack Of Institutional Ownership Tell Us About Gentrogroup.Co.Ltd?

Small companies that are not very actively traded often lack institutional investors, but it's less common to see large companies without them.

There are many reasons why a company might not have any institutions on the share registry. It may be hard for institutions to buy large amounts of shares, if liquidity (the amount of shares traded each day) is low. If the company has not needed to raise capital, institutions might lack the opportunity to build a position. Alternatively, there might be something about the company that has kept institutional investors away. Institutional investors may not find the historic growth of the business impressive, or there might be other factors at play. You can see the past revenue performance of Gentrogroup.Co.Ltd, for yourself, below.

earnings-and-revenue-growth
KOSDAQ:A083660 Earnings and Revenue Growth February 23rd 2021

We note that hedge funds don't have a meaningful investment in Gentrogroup.Co.Ltd. Sung-A Cho is currently the largest shareholder, with 48% of shares outstanding. For context, the second largest shareholder holds about 19% of the shares outstanding, followed by an ownership of 0.02% by the third-largest shareholder.

To make our study more interesting, we found that the top 2 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of the company.

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. 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 Gentrogroup.Co.Ltd

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. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.

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 information suggests that insiders own more than half of Gentrogroup.Co.,Ltd.. This gives them effective control of the company. That means they own â‚©74b worth of shares in the â‚©111b company. That's quite meaningful. It is good to see this level of investment. You can check here to see if those insiders have been buying recently.

General Public Ownership

The general public, with a 34% stake in the company, will not 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:

It's always worth thinking about the different groups who own shares in a company. But to understand Gentrogroup.Co.Ltd better, we need to consider many other factors. Case in point: We've spotted 2 warning signs for Gentrogroup.Co.Ltd you should be aware of, and 1 of them is concerning.

Of course this may not be the best stock to buy. Therefore, you may wish to see our free collection of interesting prospects boasting favorable financials.

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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