Stock Analysis

3 Japanese Stocks Insiders Are Investing In With Up To 18% Growth

TSE:9697
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Japan's stock markets have shown robust performance recently, with the Nikkei 225 Index gaining 3.1% and the broader TOPIX Index up 2.8%, partly due to a weaker yen following the U.S. Federal Reserve's significant rate cut. In this favorable economic environment, identifying growth companies with substantial insider ownership can be particularly advantageous for investors seeking to align their interests with those of company insiders who are confident in their firm's prospects.

Top 10 Growth Companies With High Insider Ownership In Japan

NameInsider OwnershipEarnings Growth
Micronics Japan (TSE:6871)15.3%31.5%
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 103 stocks from our Fast Growing Japanese Companies With High Insider Ownership screener.

Let's uncover some gems from our specialized screener.

BayCurrent Consulting (TSE:6532)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: BayCurrent Consulting, Inc. offers consulting services in Japan and has a market cap of ¥823.85 billion.

Operations: BayCurrent Consulting, Inc. generates revenue through its consulting services in Japan.

Insider Ownership: 13.9%

Earnings Growth Forecast: 18.5% p.a.

BayCurrent Consulting, trading at 42.8% below its estimated fair value, shows promising growth prospects with forecasted revenue and earnings growth of 18.5% per year, outpacing the Japanese market's average. Despite no substantial insider trading activity in the past three months, the company has a high Return on Equity forecast of 35.5% in three years. Earnings grew by 16.8% over the past year and are expected to continue growing faster than the market average of 8.6%.

TSE:6532 Earnings and Revenue Growth as at Sep 2024
TSE:6532 Earnings and Revenue Growth as at Sep 2024

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 ¥2.19 trillion.

Operations: The company's primary revenue segment is the design, manufacture, and sale of inspection and measurement equipment, generating ¥213.51 billion.

Insider Ownership: 11.8%

Earnings Growth Forecast: 15.9% p.a.

Lasertec Corporation, known for its high insider ownership, is forecasted to achieve revenue growth of 13.3% annually, outpacing the Japanese market's 4.2%. Earnings are expected to grow by 15.9% per year, surpassing the market average of 8.6%. Recent product innovation with SICA108 enhances SiC wafer inspection capabilities and supports growth in electric vehicles and renewable energy sectors. Despite recent executive resignations, Lasertec maintains strong financial guidance and increased dividends for FY2025.

TSE:6920 Earnings and Revenue Growth as at Sep 2024
TSE:6920 Earnings and Revenue Growth as at Sep 2024

Capcom (TSE:9697)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Capcom Co., Ltd. is a global company engaged in planning, developing, manufacturing, selling, and distributing home video games, online games, mobile games, and arcade games with a market cap of ¥1.38 trillion.

Operations: Capcom generates revenue primarily from Digital Content (¥103.38 billion), Amusement Facilities (¥20.09 billion), and Amusement Equipment (¥10.34 billion).

Insider Ownership: 11.5%

Earnings Growth Forecast: 14.5% p.a.

Capcom, with significant insider ownership, is forecasted to achieve annual earnings growth of 14.53%, outpacing the Japanese market's 8.6%. Revenue is expected to grow at 9.6% per year, faster than the market average of 4.2%. Despite a highly volatile share price over the past three months, Capcom's Return on Equity is projected to be high at 20.3% in three years. The company will report Q1 FY2025 results on July 29, 2024.

TSE:9697 Ownership Breakdown as at Sep 2024
TSE:9697 Ownership Breakdown as at Sep 2024

Summing It All Up

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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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