How many vehicles did CIMC (Group) Co., Ltd. (HKG: 1839) do institutions own?


If you want to know who really controls CIMC Vehicles (Group) Co., Ltd. (HKG: 1839), then you will have to look at the makeup of its share register. Institutions often own shares in more established companies, while it is not uncommon to see insiders owning a good number of smaller companies. Companies that were previously state-owned tend to have fewer insiders.

CIMC Vehicles (Group) has a market cap of HK $ 14 billion, so we would expect some institutional investors to take notice of the action. Our analysis of company ownership, below, shows that institutions own shares in the company. Let’s take a closer look at what different types of shareholders can tell us about CIMC Vehicles (Group).

Check out our latest analysis for CIMC Vehicles (Group)

SEHK: 1839 Distribution of ownership June 20, 2021

What does institutional ownership tell us about CIMC (group) vehicles?

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 businesses to have some institutions listed, especially if they are growing.

CIMC Vehicles (Group) already has institutions registered in the share register. Indeed, they hold a respectable stake in the company. This suggests some credibility among professional investors. But we cannot trust this fact alone because institutions sometimes make bad investments, like everyone else. When several institutions hold a stock, there is always a risk that they are in a “crowded trade”. When such a transaction goes awry, several parties may compete with each other to sell stocks quickly. This risk is higher in a company without a history of growth. You can see CIMC Vehicles (Group) historical revenue and revenue below, but keep in mind that there is always more to tell.

profit and revenue growth
SEHK: 1839 Profit and Revenue Growth June 20, 2021

We note that the hedge funds do not have a significant investment in CIMC Vehicles (Group). China International Marine Containers (Group) Co., Ltd. is currently the largest shareholder of the company with 57% of the shares outstanding. Essentially, this means that they have considerable influence, if not absolute control, over the future of the business. Meanwhile, the second and third shareholders respectively hold 9.5% and 9.2% of the outstanding shares.

While it makes sense to study a company’s institutional ownership data, it also makes sense to study analysts’ sentiments to know which way the wind is blowing. While there is some coverage from analysts, the company is probably not widely covered. So he might get more attention, down the track.

Insider ownership of CIMC vehicles (Group)

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. The management of the company manages the company, but the CEO will report to the board of directors, even if he is a member.

Most view insider ownership as a positive, as it can indicate that the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.

Our data cannot confirm that board members personally own shares. We don’t often see this low level of ownership, and our data may be imperfect. But shareholders can click here to check if any insiders have sold any shares.

General public property

With an 11% stake, the general public has some influence over CIMC Vehicles (Group). While this property size may not be enough to influence a policy decision in their favor, they can still have a collective impact on company policies.

Owned by a private company

It seems that private companies own 18% of the shares of CIMC Vehicles (Group). It is difficult to draw conclusions from this fact alone, so it is worth considering who owns these private companies. Sometimes insiders or other related parties have an interest in shares of a public company through a separate private company.

Public enterprise ownership

It appears to us that public companies own 57% of CIMC Vehicles (Group). It may be a strategic interest and the two companies may have related business interests. It could be that they defused. This exploitation probably deserves to be deepened.

Next steps:

I find it very interesting to see who exactly owns a company. But to really understand better, we have to take other information into account as well. To do this, you need to know the 1 warning sign we spotted with CIMC Vehicles (Group).

If you are like me, you might want to ask yourself if this business will grow or shrink. Fortunately, you can check out this free report showing analysts’ forecasts for its future.

NB: The figures in this article are calculated from data for the last twelve months, which refer to the 12-month period ending on the last date of the month of date of the financial statement. This may not be consistent with the figures in the annual report for the entire year.

Promoted
If you are looking for stocks to buy, use the cheapest platform * which is ranked # 1 overall by Barron’s, Interactive brokers. Trade stocks, options, futures, currencies, bonds and funds in 135 markets, all from one integrated account.

This Simply Wall St article is general in nature. It does not constitute a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative material. Simply Wall St has no position in the mentioned stocks.
*Interactive Brokers Ranked Least Expensive Broker By StockBrokers.com Online Annual Review 2020

Do you have any feedback on this item? Are you worried about the content? Get in touch with us directly. You can also send an email to the editorial team (at) simplywallst.com.



Source link

Comments are closed.