While institutions invested in Hyundai Elevator Co., Ltd (KRX:017800) benefited from last week's 3.8% gain, retail investors stood to gain the most

Key Insights

• The considerable ownership by retail investors in Hyundai Elevator indicates that they collectively have a greater say in management and business strategy
• A total of 4 investors have a majority stake in the company with 53% ownership
• 28% of Hyundai Elevator is held by Institutions

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To get a sense of who is truly in control of Hyundai Elevator Co., Ltd (KRX:017800), it is important to understand the ownership structure of the business. We can see that retail investors own the lion's share in the company with 37% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Retail investors gained the most after market cap touched ₩2.9t last week, while institutions who own 28% also benefitted.

Let's delve deeper into each type of owner of Hyundai Elevator, beginning with the chart below.

Check out our latest analysis for Hyundai Elevator

What Does The Institutional Ownership Tell Us About Hyundai Elevator?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

We can see that Hyundai Elevator does have institutional investors; and they hold a good portion of the company's stock. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Hyundai Elevator, (below). Of course, keep in mind that there are other factors to consider, too.

Hedge funds don't have many shares in Hyundai Elevator. Looking at our data, we can see that the largest shareholder is Hyundai Network Co., Ltd. with 27% of shares outstanding. Orbis Investment Management Limited is the second largest shareholder owning 11% of common stock, and National Pension Service holds about 10% of the company stock.

To make our study more interesting, we found that the top 4 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.

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

Insider Ownership Of Hyundai Elevator

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.

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 information suggests that Hyundai Elevator Co., Ltd insiders own under 1% of the company. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. It's a big company, so even a small proportional interest can create alignment between the board and shareholders. In this case insiders own ₩19b worth of shares. It is good to see board members owning shares, but it might be worth checking if those insiders have been buying.

General Public Ownership

The general public, who are usually individual investors, hold a 37% stake in Hyundai Elevator. 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.

Private Company Ownership

It seems that Private Companies own 27%, of the Hyundai Elevator stock. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.

Public Company Ownership

We can see that public companies hold 4.6% of the Hyundai Elevator shares on issue. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Hyundai Elevator better, we need to consider many other factors. Case in point: We've spotted 1 warning sign for Hyundai Elevator you should be aware of.

If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.

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.