Soilbuild Construction Group Ltd.'s (SGX:S7P) largest shareholder, Top Key Executive Chap Huat Lim sees holdings value fall by 12% following recent drop

Key Insights

  • Significant insider control over Soilbuild Construction Group implies vested interests in company growth

  • 79% of the company is held by a single shareholder (Chap Huat Lim)

  • Past performance of a company along with ownership data serve to give a strong idea about prospects for a business

To get a sense of who is truly in control of Soilbuild Construction Group Ltd. (SGX:S7P), it is important to understand the ownership structure of the business. The group holding the most number of shares in the company, around 90% to be precise, is individual insiders. In other words, the group stands to gain the most (or lose the most) from their investment into the company.

And last week, insiders endured the biggest losses as the stock fell by 12%.

In the chart below, we zoom in on the different ownership groups of Soilbuild Construction Group.

View our latest analysis for Soilbuild Construction Group

ownership-breakdown
SGX:S7P Ownership Breakdown July 13th 2024

What Does The Lack Of Institutional Ownership Tell Us About Soilbuild Construction 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 multiple explanations for why institutions don't own a stock. The most common is that the company is too small relative to funds under management, so the institution does not bother to look closely at 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 Soilbuild Construction Group, for yourself, below.

earnings-and-revenue-growth
SGX:S7P Earnings and Revenue Growth July 13th 2024

Hedge funds don't have many shares in Soilbuild Construction Group. From our data, we infer that the largest shareholder is Chap Huat Lim (who also holds the title of Top Key Executive) with 79% of shares outstanding. Its usually considered a good sign when insiders own a significant number of shares in the company, and in this case, we're glad to see a company insider play the role of a key stakeholder. In comparison, the second and third largest shareholders hold about 5.6% and 1.5% of the stock. Interestingly, the second-largest shareholder, Han Ren Lim is also Chief Executive Officer, again, pointing towards strong insider ownership amongst the company's top shareholders.

While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. As far as we can tell there isn't analyst coverage of the company, so it is probably flying under the radar.