Institutions profited after Dayang Enterprise Holdings Bhd's (KLSE:DAYANG) market cap rose RM220m last week but individual investors profited the most

Key Insights

• Significant control over Dayang Enterprise Holdings Bhd by individual investors implies that the general public has more power to influence management and governance-related decisions
• 51% of the business is held by the top 8 shareholders
• Insider ownership in Dayang Enterprise Holdings Bhd is 16%

A look at the shareholders of Dayang Enterprise Holdings Bhd (KLSE:DAYANG) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are individual investors with 32% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Following a 9.1% increase in the stock price last week, individual investors profited the most, but institutions who own 28% stock also stood to gain from the increase.

Let's delve deeper into each type of owner of Dayang Enterprise Holdings Bhd, beginning with the chart below.

Check out our latest analysis for Dayang Enterprise Holdings Bhd

What Does The Institutional Ownership Tell Us About Dayang Enterprise Holdings Bhd?

Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.

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

We note that hedge funds don't have a meaningful investment in Dayang Enterprise Holdings Bhd. Our data shows that Naim Holdings Berhad is the largest shareholder with 24% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 8.9% and 3.9%, of the shares outstanding, respectively. Interestingly, the bottom two of the top three shareholders also hold the title of Senior Key Executive and Member of the Board of Directors, respectively, suggesting that these insiders have a personal stake in the company. Furthermore, CEO Yusof Bin Ahmad Shahruddin is the owner of 3.0% of the company's shares.

We did some more digging and found that 8 of the top shareholders account for roughly 51% of the register, implying that along with larger shareholders, there are a few smaller shareholders, thereby balancing out each others interests somewhat.

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

Insider Ownership Of Dayang Enterprise Holdings Bhd

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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 information suggests that insiders maintain a significant holding in Dayang Enterprise Holdings Bhd. Insiders own RM418m worth of shares in the RM2.6b company. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.

General Public Ownership

The general public-- including retail investors -- own 32% 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 24% of Dayang Enterprise Holdings Bhd stock. 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. Be aware that Dayang Enterprise Holdings Bhd is showing 2 warning signs in our investment analysis , and 1 of those can't be ignored...

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.

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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.