Stock Analysis

Hyundai Ezwel Co.,Ltd.'s (KOSDAQ:090850) market cap surged ₩13b last week, individual investors who have a lot riding on the company were rewarded

KOSDAQ:A090850
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Key Insights

  • The considerable ownership by individual investors in Hyundai EzwelLtd indicates that they collectively have a greater say in management and business strategy
  • The top 5 shareholders own 51% of the company
  • Institutions own 18% of Hyundai EzwelLtd

Every investor in Hyundai Ezwel Co.,Ltd. (KOSDAQ:090850) should be aware of the most powerful shareholder groups. The group holding the most number of shares in the company, around 43% to be precise, is individual investors. Put another way, the group faces the maximum upside potential (or downside risk).

As a result, individual investors collectively scored the highest last week as the company hit ₩144b market cap following a 10% gain in the stock.

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

Check out our latest analysis for Hyundai EzwelLtd

ownership-breakdown
KOSDAQ:A090850 Ownership Breakdown March 5th 2024

What Does The Institutional Ownership Tell Us About Hyundai EzwelLtd?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

Hyundai EzwelLtd already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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. 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 EzwelLtd, (below). Of course, keep in mind that there are other factors to consider, too.

earnings-and-revenue-growth
KOSDAQ:A090850 Earnings and Revenue Growth March 5th 2024

Our data indicates that hedge funds own 8.1% of Hyundai EzwelLtd. That worth noting, since hedge funds are often quite active investors, who may try to influence management. Many want to see value creation (and a higher share price) in the short term or medium term. Looking at our data, we can see that the largest shareholder is Hyundai G.F. Holdings Co., Ltd. with 31% of shares outstanding. With 8.1% and 5.3% of the shares outstanding respectively, Tempered Investment Management Ltd. and VIP Research & Management Co., Ltd. are the second and third largest shareholders.

To make our study more interesting, we found that the top 5 shareholders control more than half of the company which implies that this group has considerable sway over the company's decision-making.

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. 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 Hyundai EzwelLtd

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

We note our data does not show any board members holding shares, personally. Not all jurisdictions have the same rules around disclosing insider ownership, and it is possible we have missed something, here. So you can click here learn more about the CEO.

General Public Ownership

With a 43% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Hyundai EzwelLtd. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Public Company Ownership

It appears to us that public companies own 31% of Hyundai EzwelLtd. 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:

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. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with Hyundai EzwelLtd , and understanding them should be part of your investment process.

If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its 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.

Valuation is complex, but we're here to simplify it.

Discover if Hyundai EzwelLtd might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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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.