Fintech
UP Fintech Holding Limited (NASDAQ:TIGR) market cap increased by $53 million last week; individual investors holding 41% profited, as did insiders
Key insights
- Significant control over UP Fintech Holding by individual investors means that the general public has more power to influence decisions relating to management and governance.
- 51% of the company is held by the top 8 shareholders
- 23% of UP Fintech Holding is held by insiders
If you want to know who really controls UP Fintech Holding Limited (NASDAQ:TIGR), then you’ll want to look at the composition of its shareholder registry. With a 41% stake, individual investors own the most shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment in the company.
After the stock price rose 7.9% last week, individual investors were the ones who benefited the most, but insiders who own 23% of the shares also benefited from the increase.
In the chart below, we delve into the different ownership groups of UP Fintech Holding.
View our latest analysis for UP Fintech Holding
NasdaqGS: TIGR Ownership Allocation July 16, 2024
What does institutional ownership tell us about UP Fintech Holding?
Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it’s included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.
UP Fintech Holding already has institutions on its share registry. In fact, they own a respectable share of the company. This suggests some credibility among professional investors. But we can’t rely on this fact alone, as institutions sometimes make bad investments, just like everyone else. If multiple institutions change their opinion on a stock at the same time, you could see the share price drop rapidly. It’s therefore worth taking a look at UP Fintech Holding’s earnings history below. Of course, the future is what really matters.
NasdaqGS:TIGR Earnings and Revenue Growth July 16, 2024
Hedge funds do not have many shares in UP Fintech Holding. Looking at our data, we can see that the largest shareholder is CEO Tianhua Wu with 14% of the shares outstanding. In comparison, the second and third largest shareholders hold about 11% and 7.7% of the shares.
After a deeper analysis, we found that more than half of the company’s shares are held by the top 8 shareholders, which suggests that the interests of the largest shareholders are somewhat balanced by the smaller ones.
While studying institutional ownership of a company can add value to your research, it is also a good practice to research analyst recommendations to gain a deeper understanding of a stock’s expected performance. Quite a few analysts cover the stock, so you could look at the expected growth quite easily.
Internally owned by UP Fintech Holding
The definition of corporate insiders can be subjective and varies across jurisdictions. Our data reflects individual insiders, capturing at least board members. Corporate management is accountable to the board, and the board is supposed to represent the interests of shareholders. In particular, sometimes top executives are on the board themselves.
Most people see insider ownership as a positive because it can indicate that the board is well aligned with other shareholders. However, on some occasions, too much power is concentrated within this group.
It appears that insiders own a significant portion of UP Fintech Holding Limited. It has a market cap of just US$708m, and insiders have US$163m worth of shares to their names. We’d say this shows alignment with shareholders, but it’s worth noting that the company is still quite small; some insiders may have founded the business. You can Click here to see if those insiders bought or sold.
General public property
With 41% ownership, the general public, mostly made up of individual investors, has some degree of influence over UP Fintech Holding. While this group cannot necessarily dictate, it can certainly have a real influence on how the company is run.
Private company ownership
We can see that private companies own 8.9% of the outstanding shares. It is difficult to draw conclusions from this fact alone, so it is worth examining who owns these private companies. Sometimes insiders or other related parties have an interest in the shares of a public company through a separate private company.
Public company ownership
Public companies currently own 11% of UP Fintech Holding shares. It’s hard to say for sure, but it suggests they have intertwined business interests. This could be a strategic stake, so it’s worth keeping an eye on this space for changes in ownership.
Next steps:
It is always worth thinking about the different groups that own shares in a company. But to better understand UP Fintech Holding, we need to consider many other factors.
Many find it useful to get an in-depth look at how a company has performed in the past. You can access This detailed chart of past earnings, revenues and cash flows.
If you’re like me, you might want to think about whether this company will grow or shrink. Luckily, you can check This free report shows analysts’ forecasts for its future.
NB: The figures in this article are calculated using the last twelve months’ data, which refers to the 12-month period ending on the last date of the month in which the financial statement is dated. This may not be consistent with the full year annual statement figures.
Valuation is a complex process, but we help simplify it.
Find out if UP Fintech Holding is potentially overvalued or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.
Do you have any comments about this article? Are you concerned about the content? Get in touch directly with us. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is of a general nature. We provide commentary based on historical data and analyst forecasts using only an unbiased methodology and our articles are not intended to constitute financial advice. It is not a recommendation to buy or sell any stock and does not take into account your objectives or financial situation. Our goal is to provide you with focused, long-term analysis based on fundamental data. Please note that our analysis may not take into account the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any of the stocks mentioned.
Valuation is a complex process, but we help simplify it.
Find out if UP Fintech Holding is potentially overvalued or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.
Do you have any comments about this article? Are you concerned about the content? Get in touch directly with us. Alternatively, send an email editorial-team@simplywallst.com