Individual investors are DAEDUCK ELECTRONICS Co., Ltd.'s (KRX:353200) biggest owners and were rewarded after market cap rose by ₩386b last week

Key Insights

• The considerable ownership by individual investors in DAEDUCK ELECTRONICS indicates that they collectively have a greater say in management and business strategy
• 51% of the business is held by the top 7 shareholders
• Institutions own 22% of DAEDUCK ELECTRONICS

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If you want to know who really controls DAEDUCK ELECTRONICS Co., Ltd. (KRX:353200), then you'll have to look at the makeup of its share registry. The group holding the most number of shares in the company, around 48% to be precise, is individual investors. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

Clearly, individual investors benefitted the most after the company's market cap rose by ₩386b last week.

In the chart below, we zoom in on the different ownership groups of DAEDUCK ELECTRONICS.

View our latest analysis for DAEDUCK ELECTRONICS

What Does The Institutional Ownership Tell Us About DAEDUCK ELECTRONICS?

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.

DAEDUCK ELECTRONICS already has institutions on the share registry. Indeed, they own a respectable stake in the company. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see DAEDUCK ELECTRONICS' historic earnings and revenue below, but keep in mind there's always more to the story.

Hedge funds don't have many shares in DAEDUCK ELECTRONICS. Looking at our data, we can see that the largest shareholder is Daeduck Co.,Ltd. with 30% of shares outstanding. National Pension Service is the second largest shareholder owning 13% of common stock, and The Vanguard Group, Inc. holds about 2.5% of the company stock.

We also observed that the top 7 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.

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

Insider Ownership Of DAEDUCK ELECTRONICS

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.

Our information suggests that DAEDUCK ELECTRONICS Co., Ltd. insiders own under 1% of the company. It is a pretty big company, so it would be possible for board members to own a meaningful interest in the company, without owning much of a proportional interest. In this case, they own around ₩1.2b worth of shares (at current prices). Arguably, recent buying and selling is just as important to consider. You can click here to see if insiders have been buying or selling.

General Public Ownership

The general public, who are usually individual investors, hold a 48% stake in DAEDUCK ELECTRONICS. 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

We can see that public companies hold 30% of the DAEDUCK ELECTRONICS shares on issue. 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. Take risks for example - DAEDUCK ELECTRONICS has 2 warning signs we think you should be aware of.

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.