Yahoo Finance Exploring Three Japanese Growth Stocks With Minimum 13% Insider Ownership On Tokyo Exchange
Amid a backdrop of significant currency fluctuations and anticipations of monetary policy shifts, Japan's stock markets have shown resilience, with notable gains in major indices. This environment underscores the intriguing potential of growth companies, particularly those with substantial insider ownership which often signals confidence in the company’s prospects from those who know it best.
Top 10 Growth Companies With High Insider Ownership In Japan
Name | Insider Ownership | Earnings Growth |
SHIFT (TSE:3697) | 35.4% | 27% |
Kanamic NetworkLTD (TSE:3939) | 25% | 28.9% |
Hottolink (TSE:3680) | 27% | 57.4% |
Medley (TSE:4480) | 34% | 28.7% |
Micronics Japan (TSE:6871) | 15.3% | 39.8% |
Kasumigaseki CapitalLtd (TSE:3498) | 34.8% | 44.6% |
ExaWizards (TSE:4259) | 21.9% | 91.1% |
Soiken Holdings (TSE:2385) | 19.8% | 118.4% |
AeroEdge (TSE:7409) | 10.7% | 28.5% |
freee K.K (TSE:4478) | 23.9% | 72.9% |
We'll examine a selection from our screener results.
Mercari
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Mercari, Inc. operates a marketplace application in Japan and the United States, focusing on the buying and selling of goods, with a market capitalization of approximately ¥364.95 billion.
Operations: The company generates revenue through its marketplace applications, primarily in Japan and the United States.
Insider Ownership: 36%
Mercari, a Japanese growth company with high insider ownership, expects substantial financial performance for the fiscal year ending June 30, 2024, with projected revenues of JPY 190 billion and an operating profit of JPY 16.5 billion. Despite its highly volatile share price in recent months, Mercari's earnings have surged by over 200% in the past year and are set to grow at approximately 18.9% annually—outpacing the broader Japanese market's average. However, revenue growth forecasts at about 9.7% yearly may lag behind more aggressive industry benchmarks.
Rakuten Group
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Rakuten Group, Inc. operates in e-commerce, fintech, digital content, and communications sectors serving customers globally with a market capitalization of approximately ¥1.86 trillion.
Operations: The company generates revenue through its operations in e-commerce, fintech, digital content, and communications sectors globally.
Insider Ownership: 17.3%
Rakuten Group, with significant insider ownership, is poised for notable growth in Japan. Recent corporate guidance anticipates double-digit revenue growth for FY 2024, excluding its securities business. The company recently raised $1.99 billion through a fixed-income offering, underscoring its financial strategies amid expansion efforts. Although Rakuten's return on equity is expected to remain modest at 8.9%, its move towards profitability within three years highlights potential upward trajectories in both earnings and market performance.
BayCurrent Consulting
Simply Wall St Growth Rating: ★★★★☆☆
Overview: BayCurrent Consulting, Inc., based in Japan, offers consulting services with a market capitalization of approximately ¥526.47 billion.
Operations: The firm generates its revenue primarily through consulting services in Japan.
Insider Ownership: 13.9%
BayCurrent Consulting, a growth-oriented firm in Japan with high insider ownership, shows promising financial trends. Its earnings are expected to grow by 18.4% annually, outpacing the Japanese market forecast of 8.9%. Additionally, its revenue growth projection stands at 18.3% per year, also above the national average of 4.2%. The firm recently completed a share buyback worth ¥3.6 billion to enhance shareholder value, indicating strong management confidence in its operational stability and future prospects despite its highly volatile share price over the past three months.
Key Takeaways
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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.
Companies discussed in this article include TSE:4385 TSE:4755 and TSE:6532.
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