Stock Analysis

VisEra Technologies Company Ltd.'s (TWSE:6789) largest shareholders are public companies with 67% ownership, individual investors own 21%

TWSE:6789
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Key Insights

  • Significant control over VisEra Technologies by public companies implies that the general public has more power to influence management and governance-related decisions
  • The largest shareholder of the company is Taiwan Semiconductor Manufacturing Company Limited with a 67% stake
  • Institutions own 11% of VisEra Technologies

A look at the shareholders of VisEra Technologies Company Ltd. (TWSE:6789) can tell us which group is most powerful. The group holding the most number of shares in the company, around 67% to be precise, is public companies. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

And individual investors on the other hand have a 21% ownership in the company.

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

View our latest analysis for VisEra Technologies

ownership-breakdown
TWSE:6789 Ownership Breakdown August 29th 2024

What Does The Institutional Ownership Tell Us About VisEra 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 VisEra 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. 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 VisEra Technologies' earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth
TWSE:6789 Earnings and Revenue Growth August 29th 2024

VisEra Technologies is not owned by hedge funds. Our data shows that Taiwan Semiconductor Manufacturing Company Limited is the largest shareholder with 67% of shares outstanding. This implies that they have majority interest control of the future of the company. In comparison, the second and third largest shareholders hold about 3.4% and 2.2% of the stock.

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 is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.

Insider Ownership Of VisEra Technologies

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 information suggests that VisEra Technologies Company Ltd. insiders own under 1% of the company. It's a big company, so even a small proportional interest can create alignment between the board and shareholders. In this case insiders own NT$407m worth of shares. 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

With a 21% ownership, the general public, mostly comprising of individual investors, have some degree of sway over VisEra Technologies. 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 67% of the VisEra Technologies shares on issue. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.

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. Case in point: We've spotted 1 warning sign for VisEra Technologies 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.