Stock Analysis

Bizlink Holding Inc.'s (TWSE:3665) high institutional ownership speaks for itself as stock continues to impress, up 6.6% over last week

TWSE:3665
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Key Insights

  • Significantly high institutional ownership implies Bizlink Holding's stock price is sensitive to their trading actions
  • The top 22 shareholders own 50% of the company
  • Using data from analyst forecasts alongside ownership research, one can better assess the future performance of a company

If you want to know who really controls Bizlink Holding Inc. (TWSE:3665), 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 44% to be precise, is institutions. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

And last week, institutional investors ended up benefitting the most after the company hit NT$72b in market cap. One-year return to shareholders is currently 59% and last week’s gain was the icing on the cake.

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

See our latest analysis for Bizlink Holding

ownership-breakdown
TWSE:3665 Ownership Breakdown August 22nd 2024

What Does The Institutional Ownership Tell Us About Bizlink Holding?

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 Bizlink Holding 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 Bizlink Holding's earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
TWSE:3665 Earnings and Revenue Growth August 22nd 2024

Bizlink Holding is not owned by hedge funds. Our data shows that T. Rowe Price Group, Inc. is the largest shareholder with 6.9% of shares outstanding. For context, the second largest shareholder holds about 5.2% of the shares outstanding, followed by an ownership of 5.0% by the third-largest shareholder. In addition, we found that Chien-Hua Teng, the CEO has 0.9% of the shares allocated to their name.

After doing some more digging, we found that the top 22 have the combined ownership of 50% in the company, suggesting that no single shareholder has significant control over the company.

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

Insider Ownership Of Bizlink Holding

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.

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 most recent data indicates that insiders own some shares in Bizlink Holding Inc.. It is a pretty big company, so it is generally a positive to see some potentially meaningful alignment. In this case, they own around NT$2.2b 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

With a 44% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Bizlink Holding. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.

Private Company Ownership

It seems that Private Companies own 8.3%, of the Bizlink Holding stock. 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.

Next Steps:

It's always worth thinking about the different groups who own shares in a company. But to understand Bizlink Holding better, we need to consider many other factors. For example, we've discovered 3 warning signs for Bizlink Holding that you should be aware of before investing here.

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.

Valuation is complex, but we're here to simplify it.

Discover if Bizlink Holding might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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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.