Public companies are Evergreen Aviation Technologies Corporation's (TWSE:2645) biggest owners and were hit after market cap dropped NT$1.7b

Key Insights

• The considerable ownership by public companies in Evergreen Aviation Technologies indicates that they collectively have a greater say in management and business strategy
• 55% of the company is held by a single shareholder (EVA Airways Corp.)
• Past performance of a company along with ownership data serve to give a strong idea about prospects for a business

If you want to know who really controls Evergreen Aviation Technologies Corporation (TWSE:2645), then you'll have to look at the makeup of its share registry. We can see that public companies own the lion's share in the company with 56% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

And last week, public companies endured the biggest losses as the stock fell by 4.7%.

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

See our latest analysis for Evergreen Aviation Technologies

What Does The Institutional Ownership Tell Us About Evergreen Aviation Technologies?

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 Evergreen Aviation Technologies 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. 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 Evergreen Aviation Technologies, (below). Of course, keep in mind that there are other factors to consider, too.

Evergreen Aviation Technologies is not owned by hedge funds. EVA Airways Corp. is currently the largest shareholder, with 55% of shares outstanding. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. With 14% and 2.9% of the shares outstanding respectively, Uni Airways Corporation and Fubon Life Insurance Co., Ltd., Asset Management Arm are the second and third largest shareholders.

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 Evergreen Aviation Technologies

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.

I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.

Our information suggests that Evergreen Aviation Technologies Corporation insiders own under 1% of the company. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. Keep in mind that it's a big company, and the insiders own NT$163m worth of shares. The absolute value might be more important than the proportional share. It is good to see board members owning shares, but it might be worth checking if those insiders have been buying.

General Public Ownership

The general public, who are usually individual investors, hold a 24% stake in Evergreen Aviation Technologies. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Private Company Ownership

We can see that Private Companies own 14%, of the shares on issue. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.

Public Company Ownership

We can see that public companies hold 56% of the Evergreen Aviation Technologies 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:

It's always worth thinking about the different groups who own shares in a company. But to understand Evergreen Aviation Technologies better, we need to consider many other factors. For example, we've discovered 1 warning sign for Evergreen Aviation Technologies that you should be aware of before investing here.

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.