Latest news with #LPICapital
Yahoo
22-05-2025
- Business
- Yahoo
LPI Capital Bhd's (KLSE:LPI) large institutional owners must be happy as stock continues to impress, up 4.4% over the past week
Significantly high institutional ownership implies LPI Capital Bhd's stock price is sensitive to their trading actions Public Mutual Bhd. owns 54% of the company Ownership research along with analyst forecasts data help provide a good understanding of opportunities in a stock AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. If you want to know who really controls LPI Capital Bhd (KLSE:LPI), then you'll have to look at the makeup of its share registry. We can see that institutions own the lion's share in the company with 73% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn). And things are looking up for institutional investors after the company gained RM255m in market cap last week. The gains from last week would have further boosted the one-year return to shareholders which currently stand at 32%. Let's take a closer look to see what the different types of shareholders can tell us about LPI Capital Bhd. Check out our latest analysis for LPI Capital Bhd 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. We can see that LPI Capital Bhd does have institutional investors; and they hold a good portion of the company's stock. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. 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 LPI Capital Bhd's historic earnings and revenue below, but keep in mind there's always more to the story. Institutional investors own over 50% of the company, so together than can probably strongly influence board decisions. LPI Capital Bhd is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is Public Mutual Bhd. with 54% of shares outstanding. This essentially means that they have extensive influence, if not outright control, over the future of the corporation. With 8.5% and 4.7% of the shares outstanding respectively, Sompo Asset Management Co., Ltd. and Public Bank Berhad, Group Officers Retirement Benefits Fund are the second and third largest shareholders. Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too. The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it. I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. Shareholders would probably be interested to learn that insiders own shares in LPI Capital Bhd. This is a big company, so it is good to see this level of alignment. Insiders own RM193m worth of shares (at current prices). Most would say this shows alignment of interests between shareholders and the board. Still, it might be worth checking if those insiders have been selling. The general public, who are usually individual investors, hold a 22% stake in LPI Capital Bhd. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run. While it is well worth considering the different groups that own a company, there are other factors that are even more important. For instance, we've identified 2 warning signs for LPI Capital Bhd (1 is significant) that you should be aware of. Ultimately the future is most important. You can access this free report on analyst forecasts for the company. 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. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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.
New Straits Times
04-05-2025
- Business
- New Straits Times
LPI Capital faces exposure from Putra Heights gas blast?
KUALA LUMPUR: LPI Capital Bhd's potential exposure to the Putra Heights gas pipeline explosion may be minimal due to an Excess of Loss (XOL) treaty, a research house said, The XOL ensures the reinsurer covers losses above the retention limit for properties and motor vehicles, according to Affin Hwang Investment Bank Bhd. Affin Hwang expects LPI Capital's claims and combined ratios to stabilise in the coming quarters. The research firm also noted that LPI Capital's net profit for the first quarter of 2025 (1Q25) was 3.3 per cent lower compared to the previous year. But this is in line with expectations, with weaker earnings mainly due to significantly higher claims in the insurer's fire and miscellaneous units. Affin Hwang maintained its "Hold" rating on the insurance company with a target price of RM14.20, on a cum-special dividend basis. This is is derived from a price to book value multiple target of 2.3 times on the 2025 book value per share of RM6.19. "We have factored in a lower target multiple on LPI due to the impact of lower subsequent earnings loss of annual investment income from PBB's dividends, leading to a flat net profit in 2026," it adds. Meanwhile, Kenanga Research said LPI Capital has yet to fully realise the synergistic benefits from its acquisition by Public Bank Bhd, despite making significant progress in its fire insurance segment. Kenanga Research said the company has formed a working committee to gradually implement cross-selling strategies, with the integration of agency and branch networks expected by financial year 2026 (FY26). LPI Capital received shareholder approval on April 29 for the sale of its 1.13 per cent stake in Public Bank. The company aims to distribute around 70 per cent of the proceeds as special dividends, while the remainder will be used to expand its investment portfolio. In the financial year 2024 (FY24), dividend income from Public Bank accounted for about RM44 million, or 12 per cent of total earnings. "We opine the disposal of LPI's shares in Public Bank would be from September 2025, after receiving the bank's first interim dividend for financial year 2025 (FY25), yet still ahead of the December 2025 disposal deadline," it said.
The Star
30-04-2025
- Business
- The Star
LPI Capital's 1Q earnings slip to RM97.98mil on higher claims
KUALA LUMPUR: Against the backdrop of a more volatile operating environment, LPI Capital Bhd said it is taking caution in executing its business plan and "making all necessary preparations" in line with its underwriting acceptances and investment matters. "With both domestic and foreign investments in the country possibly slowing due to global uncertainty, the demand for insurance services is expected to be affected correspondingly," it said a statement. Announcing its first quarterly result for the year (1QFY25), LPI Capital said its net profit slipped to RM97.98mil from RM101.29mil in the year-ago quarter, dragged lower by the general insurance segment. Revenue in the quarter under review was RM515.1mil, up from RM469.76mil in 1QFY24. Earnings per share slid to 24.59 sen from 25.43 sen in the previous comparative quarter. Lonpac Insurance Bhd, the group's insurance arm, posted a lower pre-tax profit of RM98.3mil during the quarter, down 8.6% from RM107.5mil in 1QFY24. Lonpac's insurance service result fell 10.5% year-on-year to RM78.7mil from RM87.9mil in 1QFY24, due primarily to a higher net claims incurred ratio of 45.7% as compared to 40.1% a year earlier. Among the reasons for the higher claims were the exceptional floodings reported in the East Coast and East Malaysia, as well as several fire losses affecting commercial and industrial properties. The insurance service result of the fire class of business fell to RM40.3mil in 1QFY25 from RM63.8mil in 1QFY24. LPI Capital's miscellaneous class of insurance also reported a lower insurance service result of RM18.2mil during the quarter, as compared to RM25.5mil in 1QFY24, partly owing to higher medical insurance claims. Commenting on the cost of medical coverage, LPI Capital said it is working to ensure its customers are supported by suitable and continuous medical coverage despite the complexities of rising costs. "The group will continue to focus on managing segments of its portfolio that have not performed as well, such as the group's medical insurance portfolio, which has been significantly impacted by medical inflation," it added.
