Three Japanese Exchange Growth Companies With Insider Ownership As High As 35%

Japan's stock markets have recently shown robust performance, with indices like the Nikkei 225 and TOPIX reaching new heights amid favorable economic data. In this context, exploring growth companies with substantial insider ownership can offer unique insights into firms that potentially have aligned interests between management and shareholders.

Top 10 Growth Companies With High Insider Ownership In Japan

Name	Insider Ownership	Earnings Growth
SHIFT (TSE:3697)	35.4%	26.9%
Hottolink (TSE:3680)	27%	57.4%
Kasumigaseki CapitalLtd (TSE:3498)	34.8%	42.1%
Medley (TSE:4480)	34%	28.7%
Micronics Japan (TSE:6871)	15.3%	39.8%
Kanamic NetworkLTD (TSE:3939)	25%	28.9%
ExaWizards (TSE:4259)	21.9%	91.1%
Soiken Holdings (TSE:2385)	19.8%	118.4%
Soracom (TSE:147A)	17.2%	54.1%
freee K.K (TSE:4478)	23.9%	72.9%

Click here to see the full list of 100 stocks from our Fast Growing Japanese Companies With High Insider Ownership screener.

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

Mercari (TSE:4385)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Mercari, Inc. operates a marketplace application in Japan and the United States, focusing on the buying and selling of goods, with a market capitalization of approximately ¥394.35 billion.

Operations: The company generates its revenue primarily from the operation of marketplace applications in Japan and the United States.

Insider Ownership: 36%

Mercari, a growth-oriented company in Japan with significant insider ownership, has projected a robust financial outlook for 2024, expecting revenues of JPY 190 billion and profits of JPY 12 billion. Despite its highly volatile share price recently, Mercari's earnings have surged by over 200% in the past year. Analysts forecast an impressive annual revenue growth rate of 9.7% and profit growth of approximately 18.8%, both outpacing the broader Japanese market forecasts significantly.

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

Rakuten Group (TSE:4755)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Rakuten Group, Inc. operates globally, offering services in e-commerce, fintech, digital content, and communications with a market capitalization of approximately ¥1.93 trillion.

Operations: The company generates its revenue from four primary areas: e-commerce, fintech, digital content, and communications.

Insider Ownership: 17.3%

Rakuten Group, a growth-focused firm in Japan with substantial insider ownership, is poised for notable expansion. The company's revenue is expected to grow by 7.8% annually, outpacing the Japanese market average of 4.3%. Although not among the fastest-growing firms, Rakuten's earnings are projected to surge by 83.11% per year. Set to become profitable within three years, its trading value stands at JPY¥78.4% below estimated fair value despite a forecasted low return on equity of 8.9%.

• Click here to discover the nuances of Rakuten Group with our detailed analytical future growth report.
• Insights from our recent valuation report point to the potential undervaluation of Rakuten Group shares in the market.

BayCurrent Consulting (TSE:6532)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: BayCurrent Consulting, Inc. offers consulting services in Japan and has a market capitalization of approximately ¥555.61 billion.

Operations: The firm generates revenue through consulting services in Japan.

Insider Ownership: 13.9%

BayCurrent Consulting, a Japanese growth company with high insider ownership, has recently completed a share buyback program, repurchasing shares for ¥3.60 billion to enhance shareholder value. The firm's revenue is expected to grow by 18.3% annually, surpassing the domestic market forecast of 4.3%. Despite trading at 50.3% below its estimated fair value and a volatile share price, BayCurrent's earnings are set to increase by 18.36% per year with a robust forecasted return on equity of 33.4%.

• Click here and access our complete growth analysis report to understand the dynamics of BayCurrent Consulting.
• Our expertly prepared valuation report BayCurrent Consulting implies its share price may be lower than expected.

Seize The Opportunity

• Get an in-depth perspective on all 100 Fast Growing Japanese Companies With High Insider Ownership by using our screener here.
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Interested In Other Possibilities?

• 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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