Yahoo Finance Southern Cable Group Berhad's (KLSE:SCGBHD) largest shareholders are private companies with 52% ownership, individual investors own 38%
Key Insights
Significant control over Southern Cable Group Berhad by private companies implies that the general public has more power to influence management and governance-related decisions
A total of 2 investors have a majority stake in the company with 52% ownership
Using data from company's past performance alongside ownership research, one can better assess the future performance of a company
Every investor in Southern Cable Group Berhad (KLSE:SCGBHD) should be aware of the most powerful shareholder groups. We can see that private companies own the lion's share in the company with 52% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
And individual investors on the other hand have a 38% ownership in the company.
Let's take a closer look to see what the different types of shareholders can tell us about Southern Cable Group Berhad.
See our latest analysis for Southern Cable Group Berhad
What Does The Institutional Ownership Tell Us About Southern Cable Group Berhad?
Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.
Less than 5% of Southern Cable Group Berhad is held by institutional investors. This suggests that some funds have the company in their sights, but many have not yet bought shares in it. If the business gets stronger from here, we could see a situation where more institutions are keen to buy. We sometimes see a rising share price when a few big institutions want to buy a certain stock at the same time. The history of earnings and revenue, which you can see below, could be helpful in considering if more institutional investors will want the stock. Of course, there are plenty of other factors to consider, too.
Southern Cable Group Berhad is not owned by hedge funds. The company's largest shareholder is Sino Shield Sdn Bhd, with ownership of 36%. With 16% and 3.8% of the shares outstanding respectively, Semangat Handal Sdn Bhd and Chin Seong Chin are the second and third largest shareholders. In addition, we found that Eng Tung, the CEO has 1.8% of the shares allocated to their name.
After doing some more digging, we found that the top 2 shareholders collectively control more than half of the company's shares, implying that they have considerable power to influence the company's decisions.
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. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track.
Insider Ownership Of Southern Cable Group 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 most recent data indicates that insiders own some shares in Southern Cable Group Berhad. It has a market capitalization of just RM505m, and insiders have RM46m worth of shares, in their own names. Some would say this shows alignment of interests between shareholders and the board, though we generally prefer to see bigger insider holdings. But it might be worth checking if those insiders have been selling.
General Public Ownership
With a 38% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Southern Cable Group Berhad. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.
Private Company Ownership
We can see that Private Companies own 52%, of the shares on issue. 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.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand Southern Cable Group Berhad better, we need to consider many other factors. For example, we've discovered 1 warning sign for Southern Cable Group Berhad that you should be aware of before investing here.
Ultimately the future is most important. You can access this free report on analyst forecasts for the company.
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.
