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If you want to know who really controls Dingyi Group Investment Limited (HKG:508), 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.
Dingyi Group Investment is not a large company by global standards. It has a market capitalization of HK$2.0b, which means it wouldn't have the attention of many institutional investors. Our analysis of the ownership of the company, below, shows that institutions don't own shares in the company. Let's take a closer look to see what the different types of shareholder can tell us about 508.
Check out our latest analysis for Dingyi Group Investment
What Does The Lack Of Institutional Ownership Tell Us About Dingyi Group Investment?
Small companies that are not very actively traded often lack institutional investors, but it's less common to see large companies without them.
There could be various reasons why no institutions own shares in a company. Typically, small, newly listed companies don't attract much attention from fund managers, because it would not be possible for large fund managers to build a meaningful position in the company. On the other hand, it's always possible that professional investors are avoiding a company because they don't think it's the best place for their money. Institutional investors may not find the historic growth of the business impressive, or there might be other factors at play. You can see the past revenue performance of Dingyi Group Investment, for yourself, below.
Hedge funds don't have many shares in Dingyi Group Investment. As far I can tell there isn't analyst coverage of the company, so it is probably flying under the radar.
Insider Ownership Of Dingyi Group Investment
The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.
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.
Our most recent data indicates that insiders own the majority of Dingyi Group Investment Limited. This means they can collectively make decisions for the company. Given it has a market cap of HK$2.0b, that means they have HK$1.1b worth of shares. Most would be pleased to see the board is investing alongside them. You may wish todiscover (for free) if they have been buying or selling.