To get an idea of who actually controls Haichang Ocean Park Holdings Ltd. (HKG:2255), it is important to understand the ownership structure of the business. And the group that holds the biggest slice of the pie are individual insiders with 47% ownership. In other words, the group faces the maximum upside potential (or downside risk).
Our data shows that insiders recently bought shares of the company and were rewarded after the market capitalization increased by HK$1.4 billion last week.
In the table below, we zoom in on the different ownership groups of Haichang Ocean Park Holdings.
Check out our latest analysis for Haichang Ocean Park Holdings
What does institutional ownership tell us about Haichang Ocean Park Holdings?
Institutional investors typically compare their own returns to the returns of a commonly tracked index. They therefore generally consider buying larger companies that are included in the relevant benchmark.
As you can see, institutional investors hold a sizeable share of Haichang Ocean Park Holdings. This implies that analysts working for these institutions have reviewed the stock and like it. But like everyone else, they can be wrong. If multiple institutions change their minds on a stock at the same time, you could see the stock price drop quickly. So it is worth checking out the earnings history of Haichang Ocean Park Holdings below. Of course, the future is what really matters.
Hedge funds do not have many shares in Haichang Ocean Park Holdings. From our data, we deduce that the main shareholder is Cheng Qu (who also holds the title of Senior Key Executive) with 47% of the outstanding shares. It’s generally considered a good sign when insiders hold a significant amount of stock in the company, and in that case, we’re happy to see a company insider act as a key stakeholder. ORIX Asset Management Corporation is the second largest shareholder with 9.7% of ordinary shares, and Hony Capital (Beijing) Co., Ltd. owns approximately 4.5% of the company’s shares.
After digging a little deeper, we found that the 2 major shareholders collectively control more than half of the company’s shares, implying that they have considerable power to influence company decisions.
Institutional ownership research is a good way to assess and filter the expected performance of a stock. The same can be obtained by studying the feelings of the analyst. There is some analyst coverage of the stock, but it could still become better known over time.
Insider ownership of Haichang Ocean Park Holdings
The definition of company insiders can be subjective and varies from jurisdiction to jurisdiction. Our data reflects individual insiders, capturing at least board members. The management of the company answers to the board of directors and the latter must represent the interests of the shareholders. In particular, sometimes the senior executives themselves sit on the board of directors.
Most view insider ownership as a positive because it can indicate that the board is well aligned with other shareholders. However, there are times when too much power is concentrated within this group.
Our most recent data indicates that insiders own a reasonable proportion of Haichang Ocean Park Holdings Ltd. It is very interesting to see that insiders hold a significant HK$16 billion stake in this HK$33 billion company. Good to see this level of investment. You can check here if these insiders have bought recently.
General public property
The general public, who are usually individual investors, hold a 35% stake in Haichang Ocean Park Holdings. While this size of ownership may not be enough to sway a policy decision in their favor, they can still have a collective impact on company policies.
It is always useful to think about the different groups that own shares in a company. But to better understand Haichang Ocean Park Holdings, we need to consider many other factors. Example: we have identified 3 warning signs for Haichang Ocean Park Holdings you need to be aware of, and 1 of them can’t be ignored.
At the end of the day the future is the most important. You can access this free analyst forecast report for the company.
NB: The figures in this article are calculated using trailing twelve month data, which refers to the 12 month period ending on the last day of the month in which the financial statements are dated. This may not be consistent with the annual report figures for the full year.
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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.