freee K.K Leads Trio Of High Insider Ownership Growth Stocks On Japanese Exchange
Amidst a backdrop of cautious optimism in global markets, Japan's Nikkei 225 and TOPIX indices have shown marginal weekly losses, reflecting a complex interplay of economic signals and monetary policy expectations. In such an environment, growth companies with high insider ownership like freee K.K can be particularly compelling, as significant insider stakes often align management’s interests with those of shareholders, potentially enhancing trust and long-term value in turbulent times.
Top 10 Growth Companies With High Insider Ownership In Japan
Name | Insider Ownership | Earnings Growth |
SHIFT (TSE:3697) | 35.5% | 27.2% |
Medley (TSE:4480) | 34.1% | 23.6% |
Hottolink (TSE:3680) | 27% | 57.3% |
Kasumigaseki CapitalLtd (TSE:3498) | 35.5% | 44.6% |
Micronics Japan (TSE:6871) | 15.3% | 37.4% |
Money Forward (TSE:3994) | 21.4% | 63.3% |
ExaWizards (TSE:4259) | 24.8% | 84.3% |
Soracom (TSE:147A) | 17.2% | 59.1% |
freee K.K (TSE:4478) | 24% | 79.8% |
CYBERDYNE (TSE:7779) | 38.9% | 72.3% |
Let's uncover some gems from our specialized screener.
freee K.K
Simply Wall St Growth Rating: ★★★★★☆
Overview: freee K.K., operating in Japan, provides cloud-based accounting and HR software solutions with a market capitalization of approximately ¥179.98 billion.
Operations: The company generates revenue primarily through its Platform Business, which amounted to ¥22.27 billion.
Insider Ownership: 24%
Freee K.K. is poised for significant growth with its revenue expected to increase by 21.1% annually, outpacing the Japanese market's average of 4.4%. Despite trading at 57.3% below its estimated fair value, which presents a potential upside, the company faces challenges with a forecasted low return on equity of 0.2% in three years and high share price volatility recently. Notably, freee K.K.'s earnings are also projected to surge, becoming profitable within the next three years.
Round One
Simply Wall St Growth Rating: ★★★★☆☆
Overview: Round One Corporation operates indoor leisure complex facilities and has a market capitalization of approximately ¥196.60 billion.
Operations: The company generates revenue primarily from its indoor leisure complex facilities.
Insider Ownership: 35.2%
Round One Corporation, a company with high insider ownership in Japan, demonstrates robust growth potential with earnings forecasted to increase by 12.88% annually, outperforming the Japanese market's average of 9.2%. Despite slower revenue growth at 6.9% per year compared to the broader market expectation of 20%, Round One maintains a competitive edge with its recent sales reaching JPY 35.04 billion year-to-date as of April 2024. The firm also offers a consistent dividend yield of 1.92%, underscoring its financial stability amidst aggressive market conditions.
Japan Elevator Service HoldingsLtd
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 ¥239.12 billion.
Operations: The company generates ¥40.12 billion primarily through maintenance services for elevators and escalators.
Insider Ownership: 23.4%
Japan Elevator Service Holdings Ltd. is a growth-oriented company with high insider ownership, focusing on expanding its domestic presence through recent service office openings in Tokyo and Nara, enhancing customer support capabilities. The firm's earnings are expected to grow by 20.53% annually, outpacing the Japanese market average of 9.2%. Despite revenue growth projections not reaching the high threshold of 20%, they remain above the market forecast at 12% per year, indicating steady upward momentum.
Where To Now?
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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:4478 TSE:4680 and TSE:6544.
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