While public companies own 35% of Perusahaan Sadur Timah Malaysia (Perstima) Berhad (KLSE:PERSTIM), private companies are its largest shareholders with 36% ownership
Simply Wall St
4 min read
Every investor in Perusahaan Sadur Timah Malaysia (Perstima) Berhad (KLSE:PERSTIM) should be aware of the most powerful shareholder groups. We can see that private companies own the lion's share in the company with 36% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
And public companies on the other hand have a 35% ownership in the company.
Let's delve deeper into each type of owner of Perusahaan Sadur Timah Malaysia (Perstima) Berhad, beginning with the chart below.
KLSE:PERSTIM Ownership Breakdown November 2nd 2022
What Does The Lack Of Institutional Ownership Tell Us About Perusahaan Sadur Timah Malaysia (Perstima) Berhad?
Institutional investors often avoid companies that are too small, too illiquid or too risky for their tastes. But it's unusual to see larger companies without any institutional investors.
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. Perusahaan Sadur Timah Malaysia (Perstima) Berhad might not have the sort of past performance institutions are looking for, or perhaps they simply have not studied the business closely.
KLSE:PERSTIM Earnings and Revenue Growth November 2nd 2022
Perusahaan Sadur Timah Malaysia (Perstima) Berhad is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is Versalite Sdn Bhd with 33% of shares outstanding. With 27% and 7.3% of the shares outstanding respectively, JFE Holdings, Inc. and Mitsui & Co., Ltd. are the second and third largest shareholders.
To make our study more interesting, we found that the top 2 shareholders have a majority ownership in the company, meaning that they are powerful enough to influence the decisions of the company.
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. Our information suggests that there isn't any analyst coverage of the stock, so it is probably little known.
Insider Ownership Of Perusahaan Sadur Timah Malaysia (Perstima) Berhad
The definition of an insider can differ slightly between different countries, but members of the board of directors always count. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.
Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.
It seems insiders own a significant proportion of Perusahaan Sadur Timah Malaysia (Perstima) Berhad. Insiders have a RM65m stake in this RM550m business. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.
General Public Ownership
With a 17% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Perusahaan Sadur Timah Malaysia (Perstima) Berhad. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Private Company Ownership
It seems that Private Companies own 36%, of the Perusahaan Sadur Timah Malaysia (Perstima) Berhad stock. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.
Public Company Ownership
We can see that public companies hold 35% of the Perusahaan Sadur Timah Malaysia (Perstima) Berhad shares on issue. 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.
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.
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