Stock Analysis

High Insider Ownership Growth Companies On The Japanese Exchange For May 2024

TSE:6544
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Despite a backdrop of economic contraction and a range-bound yen, Japanese equities have shown resilience with the Nikkei 225 Index gaining 1.5%. This environment underscores the potential value of investing in growth companies with high insider ownership, which can signal confidence from those closest to the company's operations and future prospects.

Top 10 Growth Companies With High Insider Ownership In Japan

NameInsider OwnershipEarnings Growth
SHIFT (TSE:3697)35.4%27.2%
Hottolink (TSE:3680)27%57.3%
Micronics Japan (TSE:6871)15.3%39.7%
Kasumigaseki CapitalLtd (TSE:3498)35.4%44.6%
ExaWizards (TSE:4259)24.8%80.2%
Money Forward (TSE:3994)21.4%63.5%
Medley (TSE:4480)34%24.4%
Soiken Holdings (TSE:2385)19.8%118.4%
Soracom (TSE:147A)17.2%59.1%
freee K.K (TSE:4478)24%82.7%

Click here to see the full list of 107 stocks from our Fast Growing Japanese Companies With High Insider Ownership screener.

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

Kusuri No Aoki Holdings (TSE:3549)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Kusuri No Aoki Holdings Co., Ltd. operates primarily in Japan, focusing on the retail of pharmaceuticals, cosmetics, and daily goods with a market capitalization of approximately ¥296.18 billion.

Operations: The company primarily generates its revenue from the sale of pharmaceuticals, cosmetics, and daily goods.

Insider Ownership: 28.9%

Earnings Growth Forecast: 21.8% p.a.

Kusuri No Aoki Holdings, a Japanese growth company with high insider ownership, is trading at 19.3% below its estimated fair value. The company's revenue is expected to grow by 7% per year, outpacing the Japanese market average of 3.9%. Moreover, earnings are projected to increase significantly at a rate of 21.83% annually over the next three years. However, it's important to note that profit margins have decreased from last year and the forecasted Return on Equity in three years is considered low at 14%.

TSE:3549 Earnings and Revenue Growth as at May 2024
TSE:3549 Earnings and Revenue Growth as at May 2024

Japan Elevator Service HoldingsLtd (TSE:6544)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Japan Elevator Service Holdings Co., Ltd. specializes in the repair, maintenance, and modernization of elevators and escalators across Japan, with a market capitalization of approximately ¥252.03 billion.

Operations: The company generates approximately ¥42.22 billion in revenue from its maintenance services for elevators and escalators.

Insider Ownership: 23.4%

Earnings Growth Forecast: 18.2% p.a.

Japan Elevator Service Holdings Ltd., a growth-oriented firm with significant insider ownership, is poised for robust expansion. The company forecasts JPY 47 billion in net sales and an operating profit of JPY 8 billion for FY ending March 2025. Recent strategic moves include opening new service offices to enhance customer service, demonstrating a commitment to growth and shareholder returns, evidenced by an increased dividend forecast to JPY 25 per share from JPY 23. While its revenue growth rate (11.3% per year) trails the high-growth benchmark, it still outperforms the Japanese market average.

TSE:6544 Earnings and Revenue Growth as at May 2024
TSE:6544 Earnings and Revenue Growth as at May 2024

Lasertec (TSE:6920)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Lasertec Corporation specializes in designing, manufacturing, and selling inspection and measurement equipment both in Japan and globally, with a market capitalization of approximately ¥4.10 billion.

Operations: The company operates primarily in the design, manufacture, and sale of inspection and measurement equipment across domestic and international markets.

Insider Ownership: 12.1%

Earnings Growth Forecast: 20.7% p.a.

Lasertec Corporation, a Japanese growth company with high insider ownership, is experiencing substantial earnings growth, projected at 20.71% annually. Despite its highly volatile share price in recent months, the company's revenue is expected to increase by 17% per year, outpacing the Japanese market average of 3.9%. Additionally, significant executive changes were announced on April 30, 2024, including Tetsuya Sendoda's promotion to CEO, which could influence strategic direction and operational efficiency.

TSE:6920 Ownership Breakdown as at May 2024
TSE:6920 Ownership Breakdown as at May 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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