Zhejiang Entive Smart Kitchen Appliance Co., Ltd. (SZSE:300911)'s market capitalization fell by CA$330 million last week.Private companies bear the brunt

key insights

If you want to know who really controls Zhejiang Entive Smart Kitchen Appliance Co., Ltd. (SZSE:300911), you'll have to take a look at the makeup of its share registry. The private company, which holds 53% of the shares, will have the largest stake in the company. In other words, the group will receive the maximum benefit (or maximum loss) from its investment in the company.

And last week, private companies suffered the biggest losses, with stock prices falling 10%.

Let's dig deeper into the owners of each type of Zhejiang Entive smart kitchen appliance, starting with the table below.

Check out our latest analysis for Zhejiang Entive Smart Kitchen Appliance.

What does institutional ownership tell us about Zhejiang Entive's smart kitchen appliances?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often see increased enthusiasm for a stock once it's included in a major index. We would expect most companies to have some institutions on their register, especially if they are growing.

As you can see, institutional investors have a fair amount of stake in Zhejiang Entive Smart Kitchen Appliances. This may indicate that the company has some credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They also sometimes make mistakes. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. If such a trade goes wrong, multiple parties may compete to sell stock quickly. This risk is higher for companies without a history of growth. You can see Zhejiang Entive Smart Kitchen Appliance's historic earnings and revenue below, but keep in mind there's always more to the story.

Hedge funds don't have many shares in Zhejiang Entive Smart Kitchen Appliance. The company's largest shareholder is Zhejiang Entive Investment Management Co., Ltd. with 44% ownership. The second and third largest shareholders are Shengzhou Yishun Investment Management Partnership Enterprise (Limited Partnership) and Shengzhou Ywang Investment Management Partnership (Limited Partnership), with an equal amount of shares held by him at 3.7%. Additionally, CEO Ji Sun owns 3.0% of the company's shares.

To make our study more interesting, we found that the top 3 shareholders have majority ownership in the company. This means they have enough power to influence company 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. There are plenty of analysts covering the stock, so it might be worth seeing what they are predicting.

Insider ownership of Zhejiang Entive smart kitchen appliances

The definition of an insider may vary slightly from country to country, but members of the board of directors are always considered. Management ultimately answers to the board. However, it is not uncommon for managers to be members of the board of directors. This is especially true if the manager is the founder or CEO.

Insider ownership is positive when it signals leaders 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 depending on the situation.

Shareholders would probably be interested to know that insiders own shares in Zhejiang Entive Smart Kitchen Appliance Co., Ltd.. The company has a market capitalization of just CA$2.9b, but insiders have CA$259m worth of shares in their names. This shows at least some consistency. You can click here to see if insiders have been buying or selling.

Open to the public

The general public, usually retail investors, owns 26% of Zhejiang Entive Smart Kitchen Appliances' shares. While this size of ownership may not be enough to sway policy decisions in their favor, they can still collectively influence company policy.

Private company ownership

It appears that private companies own 53% of the shares in Zhejiang Entive Smart Kitchen Appliances. Private companies may qualify as related parties. Insiders may have an interest in a public company through ownership in a private company rather than in their individual capacity. Although it is difficult to draw broad conclusions, it is worth noting as an area with room for further research.

Next steps:

I think it would be very interesting to see who exactly owns the company. But to really gain insight, you need to consider other information as well. For example, risk.Every company has them and we discovered that 2 Warning Signs for Zhejiang Entive Smart Kitchen Appliance (1 of which is important!) you need to know about.

If you're like me, you might want to consider whether this company will grow or shrink. Luckily you can check this free report showing analyst forecasts for its future.

Note: The numbers in this article are calculated using data from the previous 12 months and refer to the 12-month period ending on the last day of the month in which the financial statements are dated. This may not match the 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 using only unbiased methodologies, and articles are not intended to be financial advice. This is not a recommendation to buy or sell any stock, and does not take into account your objectives or financial situation. We aim to provide long-term, focused analysis based on fundamental data. Note that our analysis may not factor in the latest announcements or qualitative material from price-sensitive companies. Simply Wall St has no position in any stocks mentioned.