Key Insights

• Insiders appear to have a vested interest in Credit Bureau Asia's growth, as seen by their sizeable ownership

• The largest shareholder of the company is Chiang Koo with a 64% stake

• Ownership research, combined with past performance data can help provide a good understanding of opportunities in a stock

Every investor in Credit Bureau Asia Limited (SGX:TCU) should be aware of the most powerful shareholder groups. And the group that holds the biggest piece of the pie are individual insiders with 71% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

So it follows, every decision made by insiders of Credit Bureau Asia regarding the company's future would be crucial to them.

In the chart below, we zoom in on the different ownership groups of Credit Bureau Asia.

View our latest analysis for Credit Bureau Asia

What Does The Institutional Ownership Tell Us About Credit Bureau Asia?

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 Credit Bureau Asia. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Credit Bureau Asia's historic earnings and revenue below, but keep in mind there's always more to the story.

We note that hedge funds don't have a meaningful investment in Credit Bureau Asia. Looking at our data, we can see that the largest shareholder is the CEO Chiang Koo with 64% of shares outstanding. With such a huge stake, we infer that they have significant control of the future of the company. It's usually considered a good sign when insiders own a significant number of shares in the company, and in this case, we're glad to see a company insider with such skin in the game. With 6.2% and 4.6% of the shares outstanding respectively, Wah Liang Lim and abrdn plc are the second and third largest shareholders. Interestingly, the second-largest shareholder, Wah Liang Lim is also Senior Key Executive, again, pointing towards strong insider ownership amongst the company's top shareholders.

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 is some analyst coverage of the stock, but it could still become more well known, with time.