Key Insights

• Significant control over Berjaya Land Berhad by public companies implies that the general public has more power to influence management and governance-related decisions

• Berjaya Corporation Berhad owns 73% of the company

• Using data from company's past performance alongside ownership research, one can better assess the future performance of a company

If you want to know who really controls Berjaya Land Berhad (KLSE:BJLAND), 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 75% to be precise, is public companies. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).

Individual investors, on the other hand, account for 16% of the company's stockholders.

Let's delve deeper into each type of owner of Berjaya Land Berhad, beginning with the chart below.

Check out our latest analysis for Berjaya Land Berhad

What Does The Institutional Ownership Tell Us About Berjaya Land Berhad?

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 Berjaya Land Berhad. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. 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 Berjaya Land Berhad's earnings history below. Of course, the future is what really matters.

We note that hedge funds don't have a meaningful investment in Berjaya Land Berhad. Berjaya Corporation Berhad is currently the largest shareholder, with 73% of shares outstanding. This implies that they have majority interest control of the future of the company. For context, the second largest shareholder holds about 4.5% of the shares outstanding, followed by an ownership of 1.8% by the third-largest 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. We're not picking up on any analyst coverage of the stock at the moment, so the company is unlikely to be widely held.

Insider Ownership Of Berjaya Land Berhad

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. 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 data suggests that insiders own under 1% of Berjaya Land Berhad in their own names. However, it's possible that insiders might have an indirect interest through a more complex structure. It seems the board members have no more than RM2.7m worth of shares in the RM1.8b company. We generally like to see a board more invested. However it might be worth checking if those insiders have been buying.

General Public Ownership

With a 16% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Berjaya Land Berhad. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.

Public Company Ownership

It appears to us that public companies own 75% of Berjaya Land Berhad. 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 Berjaya Land Berhad better, we need to consider many other factors. Be aware that Berjaya Land Berhad is showing 2 warning signs in our investment analysis , and 1 of those can't be ignored...

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

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.