What Kind Of Investors Own Most Of Yangzijiang Shipbuilding (Holdings) Ltd. (SGX:BS6)?

If you want to know who really controls Yangzijiang Shipbuilding (Holdings) Ltd. (SGX:BS6), then you'll have to look at the makeup of its share registry. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. Warren Buffett said that he likes "a business with enduring competitive advantages that is run by able and owner-oriented people." So it's nice to see some insider ownership, because it may suggest that management is owner-oriented.

Yangzijiang Shipbuilding (Holdings) has a market capitalization of S$4.7b, so it's too big to fly under the radar. We'd expect to see both institutions and retail investors owning a portion of the company. In the chart below, we can see that institutions are noticeable on the share registry. Let's take a closer look to see what the different types of shareholders can tell us about Yangzijiang Shipbuilding (Holdings).

See our latest analysis for Yangzijiang Shipbuilding (Holdings)

What Does The Institutional Ownership Tell Us About Yangzijiang Shipbuilding (Holdings)?

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.

As you can see, institutional investors have a fair amount of stake in Yangzijiang Shipbuilding (Holdings). 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. 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 Yangzijiang Shipbuilding (Holdings)'s earnings history below. Of course, the future is what really matters.

Yangzijiang Shipbuilding (Holdings) is not owned by hedge funds. Our data shows that YZJ Settlement Julius Baer Trust Company is the largest shareholder with 22% of shares outstanding. With 10% and 4.3% of the shares outstanding respectively, Lido Point Investments Ltd. and Letian Ren are the second and third largest shareholders. Letian Ren, who is the third-largest shareholder, also happens to hold the title of Chairman of the Board.

A closer look at our ownership figures suggests that the top 13 shareholders have a combined ownership of 50% implying that no single shareholder has a majority.

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. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Yangzijiang Shipbuilding (Holdings)

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.

Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.

I can report that insiders do own shares in Yangzijiang Shipbuilding (Holdings) Ltd.. This is a big company, so it is good to see this level of alignment. Insiders own S$405m worth of shares (at current prices). It is good to see this level of investment by insiders. You can check here to see if those insiders have been buying recently.

General Public Ownership

The general public, with a 44% stake in the company, will not easily be ignored. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.

Private Company Ownership

It seems that Private Companies own 33%, of the Yangzijiang Shipbuilding (Holdings) stock. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Yangzijiang Shipbuilding (Holdings) better, we need to consider many other factors. To that end, you should learn about the 3 warning signs we've spotted with Yangzijiang Shipbuilding (Holdings) (including 1 which shouldn't be ignored) .

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. 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.
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