3 Japanese Growth Stocks Insiders Own With Earnings Surging Up To 79%

Japan's stock markets have experienced a positive trend recently, with the Nikkei 225 Index gaining 2.45% and the broader TOPIX Index up 0.45%, supported by yen weakness that has enhanced profit prospects for exporters. In this favorable environment, growth companies with substantial insider ownership can be particularly appealing, as they often align management interests with shareholder value and may benefit from surging earnings performance.

Top 10 Growth Companies With High Insider Ownership In Japan

Name	Insider Ownership	Earnings Growth
Micronics Japan (TSE:6871)	15.3%	31.5%
Hottolink (TSE:3680)	26.1%	61.5%
Kasumigaseki CapitalLtd (TSE:3498)	34.7%	40.2%
Medley (TSE:4480)	34%	30.4%
Inforich (TSE:9338)	19.1%	29.8%
Kanamic NetworkLTD (TSE:3939)	25%	28.3%
ExaWizards (TSE:4259)	22%	75.2%
Money Forward (TSE:3994)	21.4%	68.4%
AeroEdge (TSE:7409)	10.7%	25.3%
freee K.K (TSE:4478)	23.9%	74.1%

Click here to see the full list of 101 stocks from our Fast Growing Japanese Companies With High Insider Ownership screener.

Let's review some notable picks from our screened stocks.

Rakuten Group (TSE:4755)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Rakuten Group, Inc. operates in e-commerce, fintech, digital content, and communications sectors both in Japan and internationally with a market cap of ¥2.07 trillion.

Operations: The company's revenue segments consist of Mobile services generating ¥382.95 million, Fin Tech contributing ¥772.29 million, and Internet Services accounting for ¥1.24 billion.

Insider Ownership: 17.3%

Earnings Growth Forecast: 79.4% p.a.

Rakuten Group's earnings are forecast to grow significantly at 79.43% annually, despite a highly volatile share price recently. Revenue growth is expected at 7.5% per year, outpacing the Japanese market average of 4.3%, yet slower than high-growth benchmarks. Trading at a substantial discount to estimated fair value, Rakuten is projected to become profitable within three years, surpassing average market growth rates. No recent insider trading activity has been reported over the past three months.

• Unlock comprehensive insights into our analysis of Rakuten Group stock in this growth report.
• The valuation report we've compiled suggests that Rakuten Group's current price could be quite moderate.

BayCurrent Consulting (TSE:6532)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: BayCurrent Consulting, Inc. offers consulting services in Japan and has a market cap of ¥843.72 billion.

Operations: Revenue segments for the company are not specified in the provided text.

Insider Ownership: 13.9%

Earnings Growth Forecast: 18.4% p.a.

BayCurrent Consulting's earnings are projected to grow at 18.4% annually, surpassing the Japanese market average of 8.8%. Revenue is expected to increase by 17.8% per year, outpacing the market but below high-growth benchmarks. The stock trades at a significant discount to its estimated fair value, with a forecasted return on equity of 35.4% in three years. No substantial insider trading activity has been reported recently, indicating stability in insider sentiment.

• Click to explore a detailed breakdown of our findings in BayCurrent Consulting's earnings growth report.
• Our expertly prepared valuation report BayCurrent Consulting implies its share price may be too high.

Lasertec (TSE:6920)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Lasertec Corporation designs, manufactures, and sells inspection and measurement equipment both in Japan and internationally, with a market cap of ¥2.31 trillion.

Operations: Lasertec's revenue is derived from its activities in the design, manufacture, and sale of inspection and measurement equipment across domestic and international markets.

Insider Ownership: 11.1%

Earnings Growth Forecast: 15.8% p.a.

Lasertec's earnings are forecast to grow at 15.8% annually, exceeding the Japanese market average of 8.8%, while revenue is expected to increase by 13.2% per year, surpassing the market growth rate of 4.3%. The company recently launched SICA108, enhancing its SiC wafer inspection capabilities and addressing manufacturing challenges in power devices. Despite high volatility in share price and no recent insider trading activity, Lasertec maintains a very high return on equity forecast at 41.4%.

• Take a closer look at Lasertec's potential here in our earnings growth report.
• Insights from our recent valuation report point to the potential overvaluation of Lasertec shares in the market.

Make It Happen

• Unlock our comprehensive list of 101 Fast Growing Japanese Companies With High Insider Ownership by clicking here.
• Are these companies part of your investment strategy? Use Simply Wall St to consolidate your holdings into a portfolio and gain insights with our comprehensive analysis tools.
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Seeking Other Investments?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
• Find companies with promising cash flow potential yet trading below their fair value.

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.The analysis only considers stock directly held by insiders. It does not include indirectly owned stock through other vehicles such as corporate and/or trust entities. All forecast revenue and earnings growth rates quoted are in terms of annualised (per annum) growth rates over 1-3 years.

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