Individual investors own 32% of ORION Corp. (KRX:271560) shares but public companies control 37% of the company

Key Insights

• The considerable ownership by public companies in ORION indicates that they collectively have a greater say in management and business strategy
• The top 3 shareholders own 51% of the company
• Institutions own 25% of ORION

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Every investor in ORION Corp. (KRX:271560) should be aware of the most powerful shareholder groups. We can see that public companies own the lion's share in the company with 37% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

Meanwhile, individual investors make up 32% of the company’s shareholders.

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

Check out our latest analysis for ORION

What Does The Institutional Ownership Tell Us About ORION?

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.

We can see that ORION does have institutional investors; and they hold a good portion of the company's stock. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at ORION's earnings history below. Of course, the future is what really matters.

Hedge funds don't have many shares in ORION. Our data shows that ORION Holdings Corp. is the largest shareholder with 37% of shares outstanding. In comparison, the second and third largest shareholders hold about 9.1% and 4.7% of the stock.

After doing some more digging, we found that the top 3 shareholders collectively control more than half of the company's shares, implying that they have considerable power to influence the company's decisions.

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 are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.

Insider Ownership Of ORION

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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.

We can see that insiders own shares in ORION Corp.. It is a pretty big company, so it is generally a positive to see some potentially meaningful alignment. In this case, they own around ₩209b worth of shares (at current prices). Most would say this shows alignment of interests between shareholders and the board. Still, it might be worth checking if those insiders have been selling.

General Public Ownership

With a 32% ownership, the general public, mostly comprising of individual investors, have some degree of sway over ORION. 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

It appears to us that public companies own 37% of ORION. 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:

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.

I always like to check for a history of revenue growth. You can too, by accessing this free chart of historic revenue and earnings in this detailed graph.

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.