3 Japanese Growth Stocks With High Insider Ownership And Up To 32% Profit Growth

Japan’s stock markets have shown a strong rebound recently, with the Nikkei 225 Index gaining 8.7% and the TOPIX Index up 7.9%, driven by better-than-expected economic data and a weaker yen boosting exporter sentiment. In this favorable market environment, growth companies with high insider ownership can offer unique investment opportunities due to their potential for robust profit growth and alignment of interests between management and shareholders. In this article, we will explore three Japanese growth stocks that boast high insider ownership and have demonstrated profit growth of up to 32%.

Top 10 Growth Companies With High Insider Ownership In Japan

Name	Insider Ownership	Earnings Growth
Micronics Japan (TSE:6871)	15.3%	32.9%
Hottolink (TSE:3680)	27%	61.9%
Kasumigaseki CapitalLtd (TSE:3498)	34.7%	43.3%
Medley (TSE:4480)	34%	30.5%
SHIFT (TSE:3697)	35.4%	32.8%
ExaWizards (TSE:4259)	22%	63%
Money Forward (TSE:3994)	21.4%	66.9%
Astroscale Holdings (TSE:186A)	21.3%	90%
AeroEdge (TSE:7409)	10.7%	25.3%
Soracom (TSE:147A)	16.5%	54.1%

Click here to see the full list of 103 stocks from our Fast Growing Japanese Companies With High Insider Ownership screener.

Underneath we present a selection of stocks filtered out by our screen.

en-japan (TSE:4849)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: en-japan inc. provides human resources services in Japan and internationally, with a market cap of ¥101.41 billion.

Operations: The company's revenue segments include Online Job Information of ¥35.85 billion, Permanent Recruitment of ¥12.79 billion, Temporary Staffing of ¥4.68 billion, and Other HR-Related Services generating ¥2.34 billion.

Insider Ownership: 14.7%

Earnings Growth Forecast: 11.5% p.a.

en-japan inc. showcases significant growth potential with high insider ownership, trading at 63.1% below its estimated fair value. The company forecasts net sales of ¥73 billion, operating income of ¥8.10 billion, and profit attributable to owners at ¥9.33 billion for the year ending March 31, 2025. Despite slower revenue growth (7.1% annually), earnings are expected to grow faster than the market at 11.5% per year with a strong forecasted return on equity of 21.9%.

• Click here and access our complete growth analysis report to understand the dynamics of en-japan.
• The analysis detailed in our en-japan valuation report hints at an inflated share price compared to its estimated value.

Micronics Japan (TSE:6871)

Simply Wall St Growth Rating: ★★★★★★

Overview: Micronics Japan Co., Ltd. develops, manufactures, and sells testing and measurement equipment for semiconductors and LCD testing systems worldwide, with a market cap of ¥190.25 billion.

Operations: The company generates revenue from its semiconductor testing and measurement equipment, as well as LCD testing systems.

Insider Ownership: 15.3%

Earnings Growth Forecast: 32.9% p.a.

Micronics Japan is positioned for robust growth with high insider ownership, trading at 49.4% below its estimated fair value. Earnings are forecast to grow significantly at 32.88% annually, outpacing the JP market's 8.5%. Revenue is expected to increase by 20.4% per year, also surpassing market averages of 4.3%. However, the stock has shown high volatility over the past three months and lacks recent insider trading activity data.

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

SaizeriyaLtd (TSE:7581)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Saizeriya Co., Ltd. operates restaurants in Japan, Australia, and Asia, with a market cap of ¥246.75 billion.

Operations: Revenue Segments (in millions of ¥): Japan: ¥82,000; Australia: ¥2,500; Asia: ¥16,300.

Insider Ownership: 30.2%

Earnings Growth Forecast: 26.1% p.a.

Saizeriya Ltd. demonstrates strong growth potential with high insider ownership, trading at 33.4% below its estimated fair value. Earnings are forecast to grow significantly at 26.15% annually, well above the JP market's 8.5%. Revenue is expected to increase by 7.1% per year, surpassing the market average of 4.3%. However, return on equity is projected to be low in three years (11.6%), and there has been no substantial insider trading activity recently.

• Click to explore a detailed breakdown of our findings in SaizeriyaLtd's earnings growth report.
• Our comprehensive valuation report raises the possibility that SaizeriyaLtd is priced lower than what may be justified by its financials.

Where To Now?

• Take a closer look at our Fast Growing Japanese Companies With High Insider Ownership list of 103 companies by clicking here.
• Are any of these part of your asset mix? Tap into the analytical power of Simply Wall St's portfolio to get a 360-degree view on how they're shaping up.
• Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets.

Want To Explore Some Alternatives?

• 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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