B.Duck Semk Holdings International Limited's (HKG:2250) most bullish insider, CEO Ha Lam Hui must be pleased with the recent 13% gain

Key Insights

• B.Duck Semk Holdings International's significant insider ownership suggests inherent interests in company's expansion
• 69% of the company is held by a single shareholder (Ha Lam Hui)
• Using data from company's past performance alongside ownership research, one can better assess the future performance of a company

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Every investor in B.Duck Semk Holdings International Limited (HKG:2250) should be aware of the most powerful shareholder groups. With 69% stake, individual insiders possess the maximum shares in the company. Put another way, the group faces the maximum upside potential (or downside risk).

As a result, insiders scored the highest last week as the company hit HK$922m market cap following a 13% gain in the stock.

Let's delve deeper into each type of owner of B.Duck Semk Holdings International, beginning with the chart below.

Check out our latest analysis for B.Duck Semk Holdings International

What Does The Lack Of Institutional Ownership Tell Us About B.Duck Semk Holdings International?

We don't tend to see institutional investors holding stock of companies that are very risky, thinly traded, or very small. Though we do sometimes see large companies without institutions on the register, it's not particularly common.

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. 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 B.Duck Semk Holdings International, for yourself, below.

Hedge funds don't have many shares in B.Duck Semk Holdings International. Looking at our data, we can see that the largest shareholder is the CEO Ha Lam Hui with 69% of shares outstanding. This essentially means that they have significant control over the outcome or future of the company, which is why insider ownership is usually looked upon favourably by prospective buyers. With 8.5% and 6.0% of the shares outstanding respectively, Shenzhen Overseas Chinese Town Co.,Ltd. and Wong's International Holdings Limited are the second and third largest shareholders.

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 B.Duck Semk Holdings International

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.

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 that insiders own more than half the B.Duck Semk Holdings International Limited stock. This gives them a lot of power. Given it has a market cap of HK$922m, that means they have HK$634m worth of shares. Most would be pleased to see the board is investing alongside them. You may wish todiscover (for free) if they have been buying or selling.

General Public Ownership

With a 18% ownership, the general public, mostly comprising of individual investors, have some degree of sway over B.Duck Semk Holdings International. 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.

Public Company Ownership

It appears to us that public companies own 13% of B.Duck Semk Holdings International. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.

Next Steps:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with B.Duck Semk Holdings International , and understanding them should be part of your investment process.

Of course this may not be the best stock to buy. So take a peek at this free free list 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.