Do Institutions Own Oriental Press Group Limited (HKG:18) Shares?

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Every investor in Oriental Press Group Limited (HKG:18) should be aware of the most powerful shareholder groups. Generally speaking, as a company grows, institutions will increase their ownership. Conversely, insiders often decrease their ownership over time. I generally like to see some degree of insider ownership, even if only a little. As Nassim Nicholas Taleb said, 'Don’t tell me what you think, tell me what you have in your portfolio.'

With a market capitalization of HK$2.0b, Oriental Press Group is a small cap stock, so it might not be well known by many institutional investors. Taking a look at our data on the ownership groups (below), it's seems that institutions are not on the share registry. Let's take a closer look to see what the different types of shareholder can tell us about 18.

Check out our latest analysis for Oriental Press Group

SEHK:18 Ownership Summary, April 8th 2019
SEHK:18 Ownership Summary, April 8th 2019

What Does The Lack Of Institutional Ownership Tell Us About Oriental Press Group?

Small companies that are not very actively traded often lack institutional investors, but it's less common to see large companies without them.

There are many reasons why a company might not have any institutions on the share registry. It may be hard for institutions to buy large amounts of shares, if liquidity (the amount of shares traded each day) is low. If the company has not needed to raise capital, institutions might lack the opportunity to build a position. Alternatively, there might be something about the company that has kept institutional investors away. Oriental Press Group might not have the sort of past performance institutions are looking for, or perhaps they simply have not studied the business closely.

SEHK:18 Income Statement, April 8th 2019
SEHK:18 Income Statement, April 8th 2019

Oriental Press Group is not owned by hedge funds. We're not picking up on any analyst coverage of the stock at the moment, so the company is unlikely to be widely held.

Insider Ownership Of Oriental Press Group

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. 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 a reasonable proportion of Oriental Press Group Limited. Insiders have a HK$204m stake in this HK$2.0b business. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.