Do Directors Own Singapore Airlines Limited (SGX:C6L) Shares?

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If you want to know who really controls Singapore Airlines Limited (SGX:C6L), then you'll have to look at the makeup of its share registry. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. Companies that used to be publicly owned tend to have lower insider ownership.

Singapore Airlines is a pretty big company. It has a market capitalization of S$11b. Normally institutions would own a significant portion of a company this size. Our analysis of the ownership of the company, below, shows that institutions are noticeable on the share registry. Let's take a closer look to see what the different types of shareholder can tell us about C6L.

View our latest analysis for Singapore Airlines

SGX:C6L Ownership Summary, August 26th 2019
SGX:C6L Ownership Summary, August 26th 2019

What Does The Institutional Ownership Tell Us About Singapore Airlines?

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 8.2% of Singapore Airlines. 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 Singapore Airlines's earnings history, below. Of course, the future is what really matters.

SGX:C6L Income Statement, August 26th 2019
SGX:C6L Income Statement, August 26th 2019

Singapore Airlines is not owned by hedge funds. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Singapore Airlines

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.

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 information suggests that Singapore Airlines Limited insiders own under 1% of the company. It's a big company, so even a small proportional interest can create alignment between the board and shareholders. In this case insiders own S$10.0m worth of shares. It is always good to see at least some insider ownership, but it might be worth checking if those insiders have been selling.