Yahoo Finance Private companies account for 32% of Ta Ann Holdings Berhad's (KLSE:TAANN) ownership, while individual investors account for 29%
Key Insights
Significant control over Ta Ann Holdings Berhad by private companies implies that the general public has more power to influence management and governance-related decisions
The top 7 shareholders own 52% of the company
If you want to know who really controls Ta Ann Holdings Berhad (KLSE:TAANN), then you'll have to look at the makeup of its share registry. And the group that holds the biggest piece of the pie are private companies with 32% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
Meanwhile, individual investors make up 29% of the company’s shareholders.
Let's delve deeper into each type of owner of Ta Ann Holdings Berhad, beginning with the chart below.
See our latest analysis for Ta Ann Holdings Berhad
What Does The Institutional Ownership Tell Us About Ta Ann 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.
As you can see, institutional investors have a fair amount of stake in Ta Ann Holdings Berhad. 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. 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 Ta Ann Holdings Berhad's earnings history below. Of course, the future is what really matters.
Hedge funds don't have many shares in Ta Ann Holdings Berhad. Mountex Sdn Bhd is currently the company's largest shareholder with 21% of shares outstanding. In comparison, the second and third largest shareholders hold about 9.4% and 7.5% of the stock. Interestingly, the bottom two of the top three shareholders also hold the title of Senior Key Executive and Chairman of the Board, respectively, suggesting that these insiders have a personal stake in the company. Additionally, the company's CEO Kuo Hea Wong directly holds 3.6% of the total shares outstanding.
We also observed that the top 7 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.
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. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.
Insider Ownership Of Ta Ann 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.
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 most recent data indicates that insiders own a reasonable proportion of Ta Ann Holdings Berhad. Insiders own RM487m worth of shares in the RM1.8b company. We 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.
General Public Ownership
With a 29% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Ta Ann 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.
Private Company Ownership
Our data indicates that Private Companies hold 32%, of the company's shares. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.
Next Steps:
While it is well worth considering the different groups that own a company, there are other factors that are even more important. To that end, you should be aware of the 2 warning signs we've spotted with Ta Ann Holdings Berhad .
If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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.
