Galaxia Moneytree Co., Ltd.'s (KOSDAQ:094480) market cap up ₩41b last week, benefiting both individual investors who own 45% as well as insiders

Key Insights

• Significant control over Galaxia Moneytree by individual investors implies that the general public has more power to influence management and governance-related decisions
• The top 3 shareholders own 54% of the company
• Insiders own 34% of Galaxia Moneytree

Every investor in Galaxia Moneytree Co., Ltd. (KOSDAQ:094480) should be aware of the most powerful shareholder groups. With 45% stake, individual investors possess the maximum shares in the company. Put another way, the group faces the maximum upside potential (or downside risk).

Following a 14% increase in the stock price last week, individual investors profited the most, but insiders who own 34% stock also stood to gain from the increase.

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

See our latest analysis for Galaxia Moneytree

What Does The Lack Of Institutional Ownership Tell Us About Galaxia Moneytree?

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

There could be various reasons why no institutions own shares in a company. Typically, small, newly listed companies don't attract much attention from fund managers, because it would not be possible for large fund managers to build a meaningful position in the company. On the other hand, it's always possible that professional investors are avoiding a company because they don't think it's the best place for their money. 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 Galaxia Moneytree, for yourself, below.

It would appear that 8.4% of Galaxia Moneytree shares are controlled by hedge funds. That catches my attention because hedge funds sometimes try to influence management, or bring about changes that will create near term value for shareholders. The company's largest shareholder is Hyun-Joon Cho, with ownership of 33%. In comparison, the second and third largest shareholders hold about 12% and 8.4% of the stock.

A more detailed study of the shareholder registry showed us that 3 of the top shareholders have a considerable amount of ownership in the company, via their 54% stake.

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 Galaxia Moneytree

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.

It seems insiders own a significant proportion of Galaxia Moneytree Co., Ltd.. It has a market capitalization of just ₩329b, and insiders have ₩112b worth of shares in their own names. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.

General Public Ownership

The general public-- including retail investors -- own 45% stake in the company, and hence can't easily be ignored. 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 12% of Galaxia Moneytree stock. We can't be certain but it is quite possible this is a strategic stake. The businesses may be similar, or work together.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Be aware that Galaxia Moneytree is showing 4 warning signs in our investment analysis , and 2 of those are concerning...

If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, backed by strong financial data.

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.