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Every investor in Suncorp Technologies Limited (HKG:1063) 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 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.
Suncorp Technologies is not a large company by global standards. It has a market capitalization of HK$259m, which means it wouldn't have the attention of many 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 1063.
View our latest analysis for Suncorp Technologies
What Does The Institutional Ownership Tell Us About Suncorp Technologies?
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.
Suncorp Technologies already has institutions on the share registry. Indeed, they own 5.8% of the company. 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 Suncorp Technologies's earnings history, below. Of course, the future is what really matters.
Hedge funds don't have many shares in Suncorp Technologies. Our information suggests that there isn't any analyst coverage of the stock, so it is probably little known.
Insider Ownership Of Suncorp Technologies
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.
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 insiders maintain a significant holding in Suncorp Technologies Limited. It has a market capitalization of just HK$259m, and insiders have HK$51m worth of shares in their own names. I would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.