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What Type Of Shareholder Owns Kerry Logistics Network Limited's (HKG:636)?

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If you want to know who really controls Kerry Logistics Network Limited (HKG:636), then you'll have to look at the makeup of its share registry. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. Companies that used to be publicly owned tend to have lower insider ownership.

With a market capitalization of HK$23b, Kerry Logistics Network is a decent size, so it is probably on the radar of institutional investors. Our analysis of the ownership of the company, below, shows that institutions are noticeable on the share registry. Let's delve deeper into each type of owner, to discover more about 636.

View our latest analysis for Kerry Logistics Network

SEHK:636 Ownership Summary, August 12th 2019
SEHK:636 Ownership Summary, August 12th 2019

What Does The Institutional Ownership Tell Us About Kerry Logistics Network?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

Kerry Logistics Network already has institutions on the share registry. Indeed, they own 10% of the company. 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. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Kerry Logistics Network, (below). Of course, keep in mind that there are other factors to consider, too.

SEHK:636 Income Statement, August 12th 2019
SEHK:636 Income Statement, August 12th 2019

We note that hedge funds don't have a meaningful investment in Kerry Logistics Network. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Kerry Logistics Network

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. The company management answer to the board; and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board, themselves.

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

Our data suggests that insiders own under 1% of Kerry Logistics Network Limited in their own names. However, it's possible that insiders might have an indirect interest through a more complex structure. It's a big company, so even a small proportional interest can create alignment between the board and shareholders. In this case insiders own HK$149m worth of shares. It is good to see board members owning shares, but it might be worth checking if those insiders have been buying.