Jiayin Group CEO experiences 16% decrease in holdings
Jiayin Group Inc.'s CEO, Dinggui Yan, who is also the largest shareholder, experienced a 16% reduction in holdings value as the stock fell. The company has significant insider ownership, with individual insiders holding a 64% stake. The lack of institutional ownership suggests potential risks or lack of interest. Researching insider ownership and analyst sentiments can help assess a stock's performance. The CEO and other top shareholders have strong insider ownership.
Super Isabel
Super Isabel
九月. 18, 2023 17:02
Jiayin Group CEO experiences 16% decrease in holdings

Key Insights

Jiayin Group Inc. has significant insider ownership, with a single shareholder, Dinggui Yan, holding 51% of the company. This suggests that there are inherent interests in the company's expansion. By analyzing ownership data alongside research, one can better assess the future performance of the company.

If you want to understand who truly controls Jiayin Group Inc., you need to examine its share registry. Individual insiders hold a 64% stake in the company, indicating the maximum upside potential or downside risk. Last week, insiders experienced significant losses as the stock fell by 16%. The chart below provides a breakdown of the different ownership groups of Jiayin Group.

What Does The Lack Of Institutional Ownership Tell Us About Jiayin Group?

It is unusual to see larger companies without any institutional investors. There are several reasons why institutions may not own a stock. One common explanation is that the company is too small relative to the funds they manage, so they do not closely consider it. Additionally, professional investors may avoid a company if they do not believe it is the best place for their money. Institutional investors may also be unimpressed by the historic growth of Jiayin Group or other factors may be at play. You can see the past revenue performance of Jiayin Group below.

Jiayin Group is not owned by hedge funds. The largest shareholder is the CEO, Dinggui Yan, with a 51% stake. This significant insider ownership is usually viewed favorably by prospective buyers as it indicates control over the company's future. The second and third largest shareholders hold approximately 11% and 1.5% of the stock, respectively. Interestingly, the third-largest shareholder, Yifang Xu, is also a Member of the Board of Directors, further highlighting strong insider ownership among the company's top shareholders.

Researching institutional ownership and studying analyst sentiments are effective ways to gauge a stock's expected performance. However, in the case of Jiayin Group, there appears to be no analyst coverage, suggesting that it may be flying under the radar.

Insider Ownership Of Jiayin Group

The definition of company insiders can vary, but our data includes individual insiders, including board members. While insider ownership can be positive when it signals that leadership is aligned with the true owners of the company, it can also concentrate power within a small group, which can be negative in certain circumstances.

Our most recent data indicates that insiders own the majority of Jiayin Group Inc., collectively holding US$156m worth of shares in the US$242m company. This significant ownership demonstrates strong alignment with shareholders and is generally considered a positive factor.

General Public Ownership

The general public, consisting mainly of individual investors, holds a 35% ownership stake in Jiayin Group. While this is a considerable percentage, it may not be enough to influence company policy if their decisions are not in line with other large shareholders.

Next Steps:

Understanding who owns a company is interesting, but it is essential to consider other information as well. For a comprehensive analysis of Jiayin Group, including fair value estimates, risks and warnings, dividends, insider transactions, and financial health, check out our free analysis.

NB: The figures in this article are based on 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 align with full-year annual report figures.

Valuation is a complex process, but we aim to simplify it. To determine whether Jiayin Group is potentially over or undervalued, view our comprehensive analysis that takes into account fair value estimates, risks and warnings, dividends, insider transactions, and financial health.

If you have any feedback on this article or concerns about the content, please contact us directly or email our editorial team at editorial-team (at) simplywallst.com.

This article by Simply Wall St is general in nature and provides commentary based on historical data and analyst forecasts. It follows an unbiased methodology and is not intended to be financial advice. It does not recommend buying or selling any stock and does not consider your objectives or financial situation. Our analysis aims to provide long-term focused analysis driven by fundamental data. Please note that our analysis may not include the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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