Stock Analysis

INCAR FINANCIAL SERVICE Co., Ltd.'s (KOSDAQ:211050) market cap rose ₩37b last week; individual investors who hold 57% profited and so did insiders

KOSDAQ:A211050
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Key Insights

  • Significant control over INCAR FINANCIAL SERVICE by individual investors implies that the general public has more power to influence management and governance-related decisions
  • The top 13 shareholders own 43% of the company
  • Insider ownership in INCAR FINANCIAL SERVICE is 41%

A look at the shareholders of INCAR FINANCIAL SERVICE Co., Ltd. (KOSDAQ:211050) can tell us which group is most powerful. With 57% stake, individual investors possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

While individual investors were the group that reaped the most benefits after last week’s 14% price gain, insiders also received a 41% cut.

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

See our latest analysis for INCAR FINANCIAL SERVICE

ownership-breakdown
KOSDAQ:A211050 Ownership Breakdown January 22nd 2025

What Does The Lack Of Institutional Ownership Tell Us About INCAR FINANCIAL SERVICE?

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 multiple explanations for why institutions don't own a stock. The most common is that the company is too small relative to funds under management, so the institution does not bother to look closely at the company. It is also possible that fund managers don't own the stock because they aren't convinced it will perform well. 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 INCAR FINANCIAL SERVICE, for yourself, below.

earnings-and-revenue-growth
KOSDAQ:A211050 Earnings and Revenue Growth January 22nd 2025

Hedge funds don't have many shares in INCAR FINANCIAL SERVICE. Byeong-Chae Choi is currently the company's largest shareholder with 27% of shares outstanding. Du-Seop Sim is the second largest shareholder owning 6.5% of common stock, and Sun-Sik Kim holds about 5.2% of the company stock.

A deeper look at our ownership data shows that the top 13 shareholders collectively hold less than half of the register, suggesting a large group of small holders where no single shareholder has a majority.

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 a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of INCAR FINANCIAL SERVICE

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.

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 INCAR FINANCIAL SERVICE Co., Ltd.. Insiders have a ₩124b stake in this ₩299b business. We would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public, who are usually individual investors, hold a substantial 57% stake in INCAR FINANCIAL SERVICE, suggesting it is a fairly popular stock. This size of ownership gives investors from the general public some collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.

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 like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.

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.