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• The considerable ownership by private companies in Master Tec Group Berhad indicates that they collectively have a greater say in management and business strategy

• MTPC Sdn Bhd owns 55% of the company

• Insiders own 30% of Master Tec Group Berhad

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Every investor in Master Tec Group Berhad (KLSE:MTEC) should be aware of the most powerful shareholder groups. And the group that holds the biggest piece of the pie are private companies with 55% ownership. Put another way, the group faces the maximum upside potential (or downside risk).

Individual insiders, on the other hand, account for 30% of the company’s stockholders. Institutions often own shares in more established companies, while it’s not unusual to see insiders own a fair bit of smaller companies.

Let’s delve deeper into each type of owner of Master Tec Group Berhad, beginning with the chart below.

See our latest analysis for Master Tec Group Berhad

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

Less than 5% of Master Tec Group Berhad is held by institutional investors. This suggests that some funds have the company in their sights, but many have not yet bought shares in it. If the company is growing earnings, that may indicate that it is just beginning to catch the attention of these deep-pocketed investors. We sometimes see a rising share price when a few big institutions want to buy a certain stock at the same time. The history of earnings and revenue, which you can see below, could be helpful in considering if more institutional investors will want the stock. Of course, there are plenty of other factors to consider, too.

We note that hedge funds don’t have a meaningful investment in Master Tec Group Berhad. Looking at our data, we can see that the largest shareholder is MTPC Sdn Bhd with 55% of shares outstanding. With such a huge stake in the ownership, we infer that they have significant control of the future of the company. In comparison, the second and third largest shareholders hold about 19% and 3.6% of the stock. Kim San Lau, who is the second-largest shareholder, also happens to hold the title of Senior Key Executive.

While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock’s expected performance. As far as we can tell there isn’t analyst coverage of the company, so it is probably flying under the radar.

Story continues

Celestica (TSX:CLS) shares have moved recently, catching the attention of investors interested in tech services and manufacturing. The company’s strong performance this year prompts a closer look at what is driving returns.

See our latest analysis for Celestica.

Celestica’s impressive surge has fueled fresh optimism among tech investors. While the 1-year share price return stands at a remarkable 189.8%, the 1-year total shareholder return is even higher at 387.5%. Momentum is clearly building, thanks to robust growth and an improving outlook.

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With shares posting such rapid gains, the key question is whether Celestica remains undervalued today or if the market has already priced in all of its future growth. This leaves investors pondering if there is still a buying opportunity.

Celestica’s widely followed narrative suggests a fair value that sits just above the last close price, hinting the stock may still hold some upside even after rapid gains. With the company’s outlook now shaped by bullish projections and improved profitability, attention is turning to major catalysts that could drive further revaluation.

Accelerated demand for advanced networking and AI infrastructure by hyperscaler customers is driving rapid growth in Celestica’s CCS segment, with multiple new 800G and upcoming 1.6T program ramps. This is supporting robust revenue expansion and greater operating leverage over the next 12 to 24 months.

Read the complete narrative.

Want to know which financial levers are fueling this premium? The key story centers on aggressive profit projections and a rare profit multiple normally reserved for industry leaders. Are these bold future assumptions enough to support such an optimistic valuation? Uncover the figures and see what drives this surprising fair value call.

Result: Fair Value of $402.69 (UNDERVALUED)

Have a read of the narrative in full and understand what’s behind the forecasts.

However, market concentration among top customers and heavy reliance on sustained AI investment could quickly challenge Celestica’s bullish growth assumptions.

Find out about the key risks to this Celestica narrative.

While the fair value estimate hints at Celestica being undervalued, comparing its price-to-earnings ratio presents a different perspective. The company is trading at 59.3x earnings, almost double the industry average of 30.7x and well above the fair ratio of 53.3x. When a stock trades significantly above its peers and what is considered fair, there is a real risk the price could revert or stall if growth expectations slip. Is this future premium fully justified?

See what the numbers say about this price — find out in our valuation breakdown.

If you think there’s another angle to the Celestica story or want to dig into the details yourself, you can shape your own view in just a few minutes by using the following resource: Do it your way

A good starting point is our analysis highlighting 2 key rewards investors are optimistic about regarding Celestica.

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This 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.

Companies discussed in this article include CLS.TO.

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