M & A Equity Holdings Berhad's (KLSE:M&A) largest shareholders are public companies with 56% ownership, individual investors own 20%
editorial-team@simplywallst.com (Simply Wall St)
4 min read
Key Insights
Significant control over M & A Equity Holdings Berhad by public companies implies that the general public has more power to influence management and governance-related decisions
56% of the company is held by a single shareholder (Insas Berhad)
Every investor in M & A Equity Holdings Berhad (KLSE:M&A) should be aware of the most powerful shareholder groups. With 56% stake, public companies possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company.
Meanwhile, individual investors make up 20% of the company’s shareholders.
Let's take a closer look to see what the different types of shareholders can tell us about M & A Equity Holdings Berhad.
What Does The Institutional Ownership Tell Us About M & A Equity Holdings Berhad?
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.
M & A Equity Holdings Berhad already has institutions on the share registry. Indeed, they own a respectable stake in the company. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see M & A Equity Holdings Berhad's historic earnings and revenue below, but keep in mind there's always more to the story.
KLSE:M&A Earnings and Revenue Growth July 24th 2024
M & A Equity Holdings Berhad is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is Insas Berhad with 56% of shares outstanding. With such a huge stake in the ownership, we infer that they have significant control of the future of the company. Nur Binti Ishak is the second largest shareholder owning 5.8% of common stock, and Kenanga Investors Bhd. holds about 4.3% of the company stock. In addition, we found that Choon Tan, the CEO has 1.5% of the shares allocated to their name.
While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. 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 M & A Equity Holdings Berhad
The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.
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 information suggests that insiders maintain a significant holding in M & A Equity Holdings Berhad. Insiders have a RM121m stake in this RM690m business. It is great to see insiders so invested in the business. It might be worth checking if those insiders have been buying recently.
General Public Ownership
With a 20% ownership, the general public, mostly comprising of individual investors, have some degree of sway over M & A Equity Holdings Berhad. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.
Public Company Ownership
Public companies currently own 56% of M & A Equity Holdings Berhad stock. This may be a strategic interest and the two companies may have related business interests. It could be that they have de-merged. This holding is probably worth investigating further.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand M & A Equity Holdings Berhad better, we need to consider many other factors. Like risks, for instance. Every company has them, and we've spotted 4 warning signs for M & A Equity Holdings Berhad (of which 1 shouldn't be ignored!) you should know about.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this freelist of interesting companies.
NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
