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Misho Ecology & Landscape Co.,Ltd.'s (SZSE:300495) 21% Gain Last Week Benefited Both Individual Investors Who Own 57% as Well as Insiders

Simply Wall St ·  Aug 29, 2022 20:00

If you want to know who really controls Misho Ecology & Landscape Co.,Ltd. (SZSE:300495), then you'll have to look at the makeup of its share registry. With 57% stake, individual investors possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Individual investors gained the most after market cap touched CN¥2.0b last week, while insiders who own 34% also benefitted.

Let's delve deeper into each type of owner of Misho Ecology & LandscapeLtd, beginning with the chart below.

View our latest analysis for Misho Ecology & LandscapeLtd

ownership-breakdownSZSE:300495 Ownership Breakdown August 29th 2022

What Does The Institutional Ownership Tell Us About Misho Ecology & LandscapeLtd?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

As you can see, institutional investors have a fair amount of stake in Misho Ecology & LandscapeLtd. 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 Misho Ecology & LandscapeLtd's earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growthSZSE:300495 Earnings and Revenue Growth August 29th 2022

Misho Ecology & LandscapeLtd is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is the CEO Yingyan Wang with 30% of shares outstanding. Jiangsu Yuantian Investment Co., Ltd. is the second largest shareholder owning 3.9% of common stock, and Jing Xu holds about 2.3% of the company stock.

Our studies suggest that the top 17 shareholders collectively control less than half of the company's shares, meaning that the company's shares are widely disseminated and there is no dominant shareholder.

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. Our information suggests that there isn't any analyst coverage of the stock, so it is probably little known.

Insider Ownership Of Misho Ecology & LandscapeLtd

The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

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 a reasonable proportion of Misho Ecology & Landscape Co.,Ltd.. Insiders own CN¥681m worth of shares in the CN¥2.0b company. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.

General Public Ownership

The general public, who are usually individual investors, hold a substantial 57% stake in Misho Ecology & LandscapeLtd, suggesting it is a fairly popular stock. This level of ownership gives investors from the wider public some power to sway key policy decisions such as board composition, executive compensation, and the dividend payout ratio.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. Consider risks, for instance. Every company has them, and we've spotted 3 warning signs for Misho Ecology & LandscapeLtd you should know about.

If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, backed by strong financial data.

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.

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