Japan Exchange's Leading Growth Companies With High Insider Ownership In May 2024

As of May 2024, the Japanese market has shown resilience with a slight decline in major indices, reflecting cautious investor sentiment amid global economic uncertainties. This context sets an intriguing stage for examining growth companies in Japan, particularly those with high insider ownership, which often signals confidence from those closest to the company's operations and strategic direction. In current market conditions where discerning stability and potential growth is crucial, these companies might offer interesting insights.

Top 10 Growth Companies With High Insider Ownership In Japan

Name	Insider Ownership	Earnings 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 108 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.

PeptiDream (TSE:4587)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: PeptiDream Inc. is a biopharmaceutical company focused on the discovery and development of constrained peptides, small molecules, and peptide-drug conjugate therapeutics, with a market capitalization of approximately ¥250.99 billion.

Operations: The company primarily generates revenue from the development of constrained peptides, small molecules, and peptide-drug conjugate therapeutics.

Insider Ownership: 26.1%

Earnings Growth Forecast: 24.7% p.a.

PeptiDream, a Japanese biotech firm, recently revised its 2024 earnings guidance upwards significantly, signaling robust growth prospects. This adjustment followed an expanded agreement with Novartis to enhance peptide discovery applications. Despite a volatile share price and lower profit margins compared to the previous year, PeptiDream's revenue and earnings growth are projected to outpace the broader Japanese market. High insider ownership aligns leadership interests with shareholders, though no recent insider trading raises questions about current confidence levels.

• Take a closer look at PeptiDream's potential here in our earnings growth report.
• Our comprehensive valuation report raises the possibility that PeptiDream is priced higher than what may be justified by its financials.

Mimaki Engineering (TSE:6638)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Mimaki Engineering Co., Ltd. is a global company engaged in the development, manufacturing, and sale of computer devices and software, with a market capitalization of approximately ¥50.94 billion.

Operations: Mimaki Engineering generates revenue from various geographical segments, with ¥62.31 billion from Japan/Asia/Oceania, ¥21.49 billion from North/Latin America, and ¥24.29 billion from Europe/Middle East/Africa.

Insider Ownership: 26.3%

Earnings Growth Forecast: 20.2% p.a.

Mimaki Engineering is poised for substantial growth with earnings expected to rise by 20.23% annually, outpacing the Japanese market's 8.4%. Despite a volatile share price and an unstable dividend track record, the company trades at a significant discount, valued at 48.2% below its estimated fair value. Recent corporate guidance forecasts robust sales and profit for FY2025, reinforcing strong future performance expectations. However, lack of recent insider trading could signal cautious optimism among insiders about these projections.

• Click here to discover the nuances of Mimaki Engineering with our detailed analytical future growth report.
• Insights from our recent valuation report point to the potential undervaluation of Mimaki Engineering shares in the market.

Lasertec (TSE:6920)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Lasertec Corporation specializes in the design, manufacture, and sale of inspection and measurement equipment, operating both in Japan and internationally, with a market capitalization of approximately ¥3.92 trillion.

Operations: The company generates its revenue primarily from the design, manufacture, and international sale of inspection and measurement equipment.

Insider Ownership: 12.1%

Earnings Growth Forecast: 20.7% p.a.

Lasertec Corporation, a key player in its sector, has seen a 105.6% increase in earnings over the past year with expectations of significant growth ahead, including a forecasted annual earnings growth of 20.71% and revenue growth at 17% per year—both outpacing the Japanese market averages. Despite these strong performance indicators and very high projected Return on Equity (40.7%), the company's share price remains highly volatile. Recent executive changes aim to bolster leadership as it navigates this rapid expansion phase.

• Click here and access our complete growth analysis report to understand the dynamics of Lasertec.
• According our valuation report, there's an indication that Lasertec's share price might be on the expensive side.

Make It Happen

• Take a closer look at our Fast Growing Japanese Companies With High Insider Ownership list of 108 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.
• Enhance your investing ability with the Simply Wall St app and enjoy free access to essential market intelligence spanning every continent.

Interested In Other Possibilities?

• 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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