Insiders the biggest winners as DAEYANG ELECTRIC.Co.,Ltd.'s (KOSDAQ:108380) market cap rises to ₩158b

Key Insights

• Significant insider control over DAEYANG ELECTRIC.Co.Ltd implies vested interests in company growth
• Yeong U Seo owns 62% of the company
• Ownership research, combined with past performance data can help provide a good understanding of opportunities in a stock

To get a sense of who is truly in control of DAEYANG ELECTRIC.Co.,Ltd. (KOSDAQ:108380), it is important to understand the ownership structure of the business. And the group that holds the biggest piece of the pie are individual insiders with 62% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

As a result, insiders scored the highest last week as the company hit ₩158b market cap following a 14% gain in the stock.

Let's take a closer look to see what the different types of shareholders can tell us about DAEYANG ELECTRIC.Co.Ltd.

See our latest analysis for DAEYANG ELECTRIC.Co.Ltd

What Does The Institutional Ownership Tell Us About DAEYANG ELECTRIC.Co.Ltd?

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.

DAEYANG ELECTRIC.Co.Ltd already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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 DAEYANG ELECTRIC.Co.Ltd, (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 DAEYANG ELECTRIC.Co.Ltd. The company's largest shareholder is Yeong U Seo, with ownership of 62%. This implies that they have majority interest control of the future of the company. Meanwhile, the second and third largest shareholders, hold 4.2% and 1.3%, of the shares outstanding, respectively.

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 some analyst coverage of the stock, but it could still become more well known, with time.

Insider Ownership Of DAEYANG ELECTRIC.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. 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.

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 DAEYANG ELECTRIC.Co.,Ltd.. This gives them effective control of the company. That means they own ₩97b worth of shares in the ₩158b company. That's quite meaningful. 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

The general public-- including retail investors -- own 31% stake in the company, and hence can't easily be ignored. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.

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. Case in point: We've spotted 1 warning sign for DAEYANG ELECTRIC.Co.Ltd you should be aware of.

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.