3 Japanese Growth Companies With High Insider Ownership Growing Earnings Up To 20%

Japan’s stock markets have shown mixed performance recently, with the Nikkei 225 Index gaining 0.5% while the broader TOPIX Index fell by 1.0%. Amid this backdrop, expectations of additional rate hikes by the Bank of Japan and a strengthening yen are key factors influencing market sentiment. In such an environment, growth companies with high insider ownership can be particularly attractive as they often demonstrate strong alignment between management and shareholder interests. This article will explore three Japanese growth companies that not only exhibit significant insider ownership but are also growing earnings by up to 20%.

Top 10 Growth Companies With High Insider Ownership In Japan

Name	Insider Ownership	Earnings Growth
Micronics Japan (TSE:6871)	15.3%	32.7%
Hottolink (TSE:3680)	27%	61.5%
Kasumigaseki CapitalLtd (TSE:3498)	34.7%	43.5%
Medley (TSE:4480)	34%	30.4%
Kanamic NetworkLTD (TSE:3939)	25%	28.3%
ExaWizards (TSE:4259)	22%	75.2%
Money Forward (TSE:3994)	21.4%	68.1%
Loadstar Capital K.K (TSE:3482)	33.8%	24.3%
AeroEdge (TSE:7409)	10.7%	25.3%
Soracom (TSE:147A)	16.5%	54.1%

Click here to see the full list of 93 stocks from our Fast Growing Japanese Companies With High Insider Ownership screener.

Here's a peek at a few of the choices from the screener.

BayCurrent Consulting (TSE:6532)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: BayCurrent Consulting, Inc. provides consulting services in Japan and has a market cap of ¥778.18 billion.

Operations: BayCurrent Consulting, Inc. generates revenue from consulting services provided in Japan.

Insider Ownership: 13.9%

Earnings Growth Forecast: 18.8% p.a.

BayCurrent Consulting, a growth company with high insider ownership in Japan, is trading at 46% below its estimated fair value. Despite not having substantial recent insider buying or selling, its earnings grew by 16.8% over the past year and are forecast to grow at 18.77% per year, outpacing the Japanese market's average of 8.7%. However, revenue growth is expected to be slower than 20%, though still higher than the market average of 4.3%.

• Click here to discover the nuances of BayCurrent Consulting with our detailed analytical future 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 in Japan and internationally, with a market cap of ¥2.01 trillion.

Operations: Revenue from the segment of designing, manufacturing, and selling inspection and measurement equipment amounts to ¥213.51 billion.

Insider Ownership: 11.8%

Earnings Growth Forecast: 20.1% p.a.

Lasertec, with significant insider ownership, has experienced a highly volatile share price in the past three months. Despite this, its earnings grew by 28% last year and are forecast to increase by 20.06% annually, surpassing the Japanese market's average of 8.7%. The company expects revenue growth of 16.7%, higher than the market rate of 4.3%. Recent executive board resignations and dividend increases highlight internal changes and shareholder returns amidst robust financial guidance for FY2025.

• Unlock comprehensive insights into our analysis of Lasertec stock in this growth report.
• Our valuation report unveils the possibility Lasertec's shares may be trading at a premium.

Financial Partners GroupLtd (TSE:7148)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Financial Partners Group Co., Ltd., with a market cap of ¥180.41 billion, offers a range of financial products and services in Japan through its subsidiaries.

Operations: Financial Partners Group Co., Ltd. generates revenue through its subsidiaries by providing a variety of financial products and services in Japan.

Insider Ownership: 31.4%

Earnings Growth Forecast: 14.1% p.a.

Financial Partners Group Ltd. exhibits strong insider ownership and is positioned for growth, with earnings forecast to increase by 14.06% annually, outpacing the Japanese market's average of 8.7%. The company recently revised its net sales guidance upward to ¥99.5 billion for FY2024 and announced a new sales office in Imabari City. Despite high debt levels and a volatile share price, it trades at a favorable P/E ratio of 9.8x compared to the market's 13.2x.

• Take a closer look at Financial Partners GroupLtd's potential here in our earnings growth report.
• According our valuation report, there's an indication that Financial Partners GroupLtd's share price might be on the cheaper side.

Next Steps

• Access the full spectrum of 93 Fast Growing Japanese Companies With High Insider Ownership by clicking on this link.
• 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.

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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