Public companies account for 40% of Samsung SDS Co.,Ltd.'s (KRX:018260) ownership, while individual investors account for 30%

Key Insights

• Samsung SDSLtd's significant public companies ownership suggests that the key decisions are influenced by shareholders from the larger public
• 58% of the business is held by the top 4 shareholders
• Institutional ownership in Samsung SDSLtd is 21%

To get a sense of who is truly in control of Samsung SDS Co.,Ltd. (KRX:018260), it is important to understand the ownership structure of the business. And the group that holds the biggest piece of the pie are public companies with 40% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

Individual investors, on the other hand, account for 30% of the company's stockholders.

Let's take a closer look to see what the different types of shareholders can tell us about Samsung SDSLtd.

See our latest analysis for Samsung SDSLtd

What Does The Institutional Ownership Tell Us About Samsung SDSLtd?

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.

We can see that Samsung SDSLtd does have institutional investors; and they hold a good portion of the company's stock. 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 Samsung SDSLtd's earnings history below. Of course, the future is what really matters.

Samsung SDSLtd is not owned by hedge funds. Samsung Electronics Co., Ltd. is currently the largest shareholder, with 23% of shares outstanding. With 17% and 9.2% of the shares outstanding respectively, Samsung C&T Corporation and Jae-Yong Lee are the second and third largest shareholders.

On looking further, we found that 58% of the shares are owned by the top 4 shareholders. In other words, these shareholders have a meaningful say in the decisions of the company.

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 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 Samsung SDSLtd

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.

Shareholders would probably be interested to learn that insiders own shares in Samsung SDS Co.,Ltd.. It is a very large company, and board members collectively own ₩1.1t worth of shares (at current prices). It is good to see this level of investment. You can check here to see if those insiders have been buying recently.

General Public Ownership

The general public-- including retail investors -- own 30% stake in the company, and hence can't easily be ignored. 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

Public companies currently own 40% of Samsung SDSLtd stock. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Samsung SDSLtd better, we need to consider many other factors. To that end, you should be aware of the 1 warning sign we've spotted with Samsung SDSLtd .

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.