Top Growth Companies With High Insider Ownership On Japanese Exchanges August 2024

Japan's stock markets have experienced significant volatility recently, driven by a rebounding yen and concerns over global growth. However, reassurances from the Bank of Japan have helped stabilize the indices, with the Nikkei 225 and TOPIX Index recovering much of their earlier losses. In this fluctuating environment, identifying growth companies with high insider ownership can be particularly valuable. Insider ownership often signals confidence in a company's future prospects and aligns management's interests with those of shareholders.

Top 10 Growth Companies With High Insider Ownership In Japan

Name	Insider Ownership	Earnings Growth
Hottolink (TSE:3680)	27%	61.9%
Micronics Japan (TSE:6871)	15.3%	32.9%
Kasumigaseki CapitalLtd (TSE:3498)	34.8%	43.3%
Medley (TSE:4480)	34%	28.8%
SHIFT (TSE:3697)	35.4%	32.8%
ExaWizards (TSE:4259)	22%	72%
Money Forward (TSE:3994)	21.4%	66.9%
Astroscale Holdings (TSE:186A)	21.3%	90%
AeroEdge (TSE:7409)	10.7%	28.5%
Soracom (TSE:147A)	16.5%	54.1%

Click here to see the full list of 102 stocks from our Fast Growing Japanese Companies With High Insider Ownership screener.

Let's dive into some prime choices out of the screener.

Qol Holdings (TSE:3034)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Qol Holdings Co., Ltd. operates dispensing pharmacies and business process outsourcing contracting businesses in Japan, with a market cap of ¥52.14 billion.

Operations: Qol Holdings generates revenue through the management of dispensing pharmacies and business process outsourcing contracting services in Japan.

Insider Ownership: 14.5%

Qol Holdings is trading at 79.7% below its estimated fair value, indicating good relative value compared to peers and the industry. Earnings are forecast to grow significantly at 32% annually over the next three years, outpacing the Japanese market's expected growth of 8.6%. Although revenue growth is slower than desired at 11.9% per year, it still exceeds the broader market's rate of 4.3%. Return on equity is forecasted to be low (18.4%) in three years.

• Click here to discover the nuances of Qol Holdings with our detailed analytical future growth report.
• Our valuation report unveils the possibility Qol Holdings' shares may be trading at a discount.

World (TSE:3612)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: World Co., Ltd. (TSE:3612) operates through its subsidiaries to plan, manufacture, retail, sell, and import/export apparel and fashion products in Japan and internationally with a market cap of ¥67.55 billion.

Operations: World Co., Ltd. generates revenue through the planning, manufacturing, retailing, selling, and import/export of apparel and fashion products both in Japan and internationally.

Insider Ownership: 14.7%

World Co., Ltd. is expected to see significant earnings growth of 23.6% per year over the next three years, outpacing the Japanese market's 8.6%. However, its revenue growth forecast of 5.4% annually lags behind ideal benchmarks for high-growth companies and it carries a high level of debt. Despite these concerns, World trades at a relatively low price-to-earnings ratio (11.1x) compared to the JP market (13x).

• Click to explore a detailed breakdown of our findings in World's earnings growth report.
• Our valuation report unveils the possibility World's shares may be trading at a premium.

Plus Alpha ConsultingLtd (TSE:4071)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Plus Alpha Consulting Co., Ltd. provides marketing solutions and has a market cap of ¥65.67 billion.

Operations: The company generates revenue through its marketing solutions segment.

Insider Ownership: 39.5%

Plus Alpha Consulting Ltd. is forecast to grow its revenue by 15.8% annually, outpacing the Japanese market's 4.3%. Its earnings are expected to rise significantly at 21% per year, also exceeding market growth rates. Despite recent share dilution and high volatility, the stock trades at a substantial discount (62.9%) to its fair value estimate and analysts predict a potential price increase of 110.1%.

• Navigate through the intricacies of Plus Alpha ConsultingLtd with our comprehensive analyst estimates report here.
• In light of our recent valuation report, it seems possible that Plus Alpha ConsultingLtd is trading behind its estimated value.

Summing It All Up

• Discover the full array of 102 Fast Growing Japanese Companies With High Insider Ownership right here.
• Got skin in the game with these stocks? Elevate how you manage them by using Simply Wall St's portfolio, where intuitive tools await to help optimize your investment outcomes.
• Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets.

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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