LEENO Industrial Inc. (KOSDAQ:058470) institutional owners may be pleased with recent gains after 1.8% loss over the past year

Key Insights

• Significantly high institutional ownership implies LEENO Industrial's stock price is sensitive to their trading actions
• A total of 4 investors have a majority stake in the company with 52% ownership
• 35% of LEENO Industrial is held by insiders

If you want to know who really controls LEENO Industrial Inc. (KOSDAQ:058470), then you'll have to look at the makeup of its share registry. We can see that institutions own the lion's share in the company with 41% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

Institutional investors would appreciate the 5.9% increase in share price last week, given their one-year losses have totalled a disappointing 1.8%.

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

See our latest analysis for LEENO Industrial

What Does The Institutional Ownership Tell Us About LEENO Industrial?

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.

LEENO Industrial already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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. 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 LEENO Industrial's earnings history below. Of course, the future is what really matters.

We note that hedge funds don't have a meaningful investment in LEENO Industrial. With a 35% stake, CEO Chae Yoon Lee is the largest shareholder. Wasatch Advisors LP is the second largest shareholder owning 9.2% of common stock, and National Pension Service holds about 5.0% of the company stock.

Our research also brought to light the fact that roughly 52% of the company is controlled by the top 4 shareholders suggesting that these owners wield significant influence on the business.

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 are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.

Insider Ownership Of LEENO Industrial

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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.

Our most recent data indicates that insiders own a reasonable proportion of LEENO Industrial Inc.. It is very interesting to see that insiders have a meaningful ₩1.1t stake in this ₩3.1t business. Most would be pleased to see the board is investing alongside them. You may wish to access this free chart showing recent trading by insiders.

General Public Ownership

The general public-- including retail investors -- own 24% 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:

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