Stock Analysis

Top Japanese Growth Companies With Insider Ownership In October 2024

TSE:3284
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Japan's stock markets have shown resilience, with the Nikkei 225 Index climbing 2.45% and the TOPIX Index increasing by 0.45% amid yen weakness, which has bolstered the profit outlook for exporters. As investors navigate this favorable backdrop, identifying growth companies with significant insider ownership could be a strategic approach, as these firms may align management interests closely with shareholders and potentially capitalize on current market conditions.

Top 10 Growth Companies With High Insider Ownership In Japan

NameInsider OwnershipEarnings 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%68.1%
Loadstar Capital K.K (TSE:3482)33.8%24.3%
Soracom (TSE:147A)16.5%54.1%

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

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

Hoosiers Holdings (TSE:3284)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Hoosiers Holdings Co., Ltd. is a Japanese holding company that operates, manages, and sells real estate properties, with a market cap of ¥37.44 billion.

Operations: The company's revenue segments comprise ¥11.47 billion from the CCRC Business, ¥15.93 billion from Real Estate Investment, ¥47.01 billion from Real Estate Development Business, and ¥8.13 billion from Real Estate Related Service Business.

Insider Ownership: 29.8%

Revenue Growth Forecast: 10.6% p.a.

Hoosiers Holdings shows promising growth potential with earnings expected to grow significantly at 21.1% annually, outpacing the Japanese market's 8.8%. Although revenue growth is projected at a slower pace of 10.6%, it still surpasses the market average of 4.3%. The company offers good value with a price-to-earnings ratio of 10.4x below the market average, but its dividend yield of ¥5.51% is not well covered by free cash flows, indicating financial constraints in sustaining payouts.

TSE:3284 Ownership Breakdown as at Oct 2024
TSE:3284 Ownership Breakdown as at Oct 2024

WealthNavi (TSE:7342)

Simply Wall St Growth Rating: ★★★★★☆

Overview: WealthNavi Inc. develops and delivers an online asset management and risk management platform, with a market cap of ¥66.71 billion.

Operations: WealthNavi Inc.'s revenue segments are not specified in the provided text.

Insider Ownership: 18%

Revenue Growth Forecast: 20.8% p.a.

WealthNavi is experiencing significant growth, with earnings expected to increase 75.8% annually, far surpassing the Japanese market's average of 8.8%. Revenue is also projected to grow rapidly at 20.8% per year. Despite past shareholder dilution and a decline in profit margins from 5.8% to 3.3%, WealthNavi's strategic office relocation supports its expansion goals in the robo-advisor sector, aiming for enhanced business operations and increased employee capacity.

TSE:7342 Ownership Breakdown as at Oct 2024
TSE:7342 Ownership Breakdown as at Oct 2024

CYBERDYNE (TSE:7779)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: CYBERDYNE Inc. is engaged in the research, development, production, sale, leasing, and maintenance of robotic equipment and systems for medical and welfare applications across various regions including Japan, the United States, Europe, the Middle East, Africa, and Asia Pacific countries with a market cap of ¥38.43 billion.

Operations: The company's revenue primarily originates from its robot-related business, which generated ¥4.46 billion.

Insider Ownership: 39%

Revenue Growth Forecast: 17.7% p.a.

Cyberdyne's earnings are forecast to grow significantly at 64.03% annually, outpacing the Japanese market's average growth rate. Although revenue is projected to increase at 17.7% per year, which is slower than the desired 20%, it still exceeds the market average of 4.3%. Despite a low expected return on equity of 0.9% in three years, Cyberdyne's path to profitability within this timeframe suggests strong growth potential without substantial recent insider trading activity.

TSE:7779 Earnings and Revenue Growth as at Oct 2024
TSE:7779 Earnings and Revenue Growth as at Oct 2024

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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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