In This Article:
If you want to know who really controls Zhenro Properties Group Limited (HKG:6158), then you'll have to look at the makeup of its share registry. Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. I quite like to see at least a little bit of insider ownership. As Charlie Munger said 'Show me the incentive and I will show you the outcome.
With a market capitalization of HK$22b, Zhenro Properties Group is a decent size, so it is probably on the radar of institutional investors. In the chart below below, we can see that institutional investors have bought into the company. We can zoom in on the different ownership groups, to learn more about 6158.
Check out our latest analysis for Zhenro Properties Group
What Does The Institutional Ownership Tell Us About Zhenro Properties Group?
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.
As you can see, institutional investors own 5.0% of Zhenro Properties Group. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 Zhenro Properties Group's earnings history, below. Of course, the future is what really matters.
Hedge funds don't have many shares in Zhenro Properties Group. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.
Insider Ownership Of Zhenro Properties Group
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.
Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.
It seems that insiders own more than half the Zhenro Properties Group Limited stock. This gives them a lot of power. That means insiders have a very meaningful HK$14b stake in this HK$22b business. Most would argue this is a positive, showing strong alignment with shareholders. You can click here to see if they have been selling down their stake.