Corporate Structure and Shareholder Composition of Plenitude Berhad on KLSE

Plenitude Berhad (KLSE:PLENITU) is majority-owned by private companies at 59%, with private equity firms holding 22%. The company's largest shareholders, Ikatan Bina Sdn Bhd and another entity, collectively hold 54% of the stock. Institutional investors are not involved, possibly due to low liquidity or limited interest in the company's past performance. Lack of analyst coverage adds to the uncertainty of the stock's future.

Introduction:
Plenitude Berhad (KLSE:PLENITU), a Malaysian-based company, has been flying under the radar of many investors due to its lack of institutional ownership and limited analyst coverage. However, this privately-majority owned company, with private equity firms holding a significant stake, has shown impressive growth in recent years, making it an intriguing investment opportunity.

Background:
As of November 1st, 2021, Plenitude Berhad is majority-owned by private companies, with private equity firms holding a 22% stake [1]. The largest shareholders, Ikatan Bina Sdn Bhd and another entity, collectively own 54% of the stock [2]. Institutional investors' absence might be due to low liquidity or limited interest in the company's past performance.

Impressive Performance:
Despite its low profile, Plenitude Berhad has demonstrated remarkable growth in the past year, with its share price increasing by 50% [2]. Over the past three years, the stock has risen by 38%, indicating a consistent upward trend [2]. This outperformance is noteworthy, as the overall market return was around 2.6% (not including dividends) during the same time frame [2].

Earnings Growth and Valuation:
Plenitude Berhad's earnings per share (EPS) grew by an impressive 165% in the last twelve months [2]. Although the share price gain of 50% did not keep pace with the EPS growth, the company's P/E ratio of 8.28 indicates that the market is still pricing the stock at a relatively low valuation [2].

Total Shareholder Return:
When considering investment returns, it is essential to consider the difference between total shareholder return (TSR) and share price return. Plenitude Berhad's TSR for the last year was 54%, which exceeds the share price return [2]. This suggests that investors who held the stock over the past year and reinvested their dividends would have experienced a more significant return.

Conclusion:
Plenitude Berhad, with its impressive growth, undervalued stock, and lack of institutional ownership, could be an excellent opportunity for investors seeking to diversify their portfolios. However, as with any investment, it is crucial to conduct thorough research and carefully consider the risks before making a decision.

References:
[1] Yahoo Finance. (2021, November 1). Private Companies Account for 59% of Plenitude Berhad [https://finance.yahoo.com/news/private-companies-account-59-plenitude-220443337.html]
[2] Webull. (2021, October 21). Plenitude Berhad (KLSE:PLENITU) Stock Analysis. [https://www.webull.com/news/9912789408146432]