10 Best Japanese Stocks To Buy Now

08. Takeda Pharmaceutical Company Limited (NYSE:TAK)

Number of Hedge Fund Holders: 10

Takeda Pharmaceutical Company Limited (NYSE:TAK), one of Japan’s largest pharmaceutical companies, is a prominent inclusion among the best Japanese stocks to buy now due to its robust financial performance and strategic initiatives in research and development. With a global presence and headquarters in Tokyo, Takeda Pharmaceutical Company Limited (NYSE:TAK) specializes in pharmaceutical products and is a leading player in the healthcare industry, making it a compelling choice for investors looking to capitalize on Japan’s thriving stock market.

In its Q1 2025 earnings report, Takeda demonstrated solid growth, reporting revenue of JPY 1.2 trillion, a 14.1% increase year-over-year, or 2.1% at constant exchange rates (CER). This impressive top-line performance was driven by the company’s Growth & Launch Products, which grew 17.8% at CER and now account for 46% of Takeda’s total revenue. Key drivers of growth include the immunoglobulin portfolio and blockbuster drugs such as ENTYVIO and TAKHZYRO, which continue to gain traction in key markets.

Takeda Pharmaceutical Company Limited (NYSE:TAK) core operating profit (OP) saw significant improvement, rising 17.1% year-over-year to JPY 382.3 billion, supported by reduced R&D investments and operational efficiencies. The company’s core OP margin of 31.6% highlights its ability to maintain profitability while managing costs effectively. The company’s ongoing focus on organizational agility, procurement savings, and leveraging technology, including AI, further enhances its operational efficiency, positioning Takeda for sustained profitability in the coming quarters.

The company’s pipeline remains strong, with multiple programs expected to progress into Phase III clinical trials later in the fiscal year. Additionally, Takeda Pharmaceutical Company Limited (NYSE:TAK) strategic partnerships, such as those with Ascentage and AC Immune, further strengthen its drug pipeline, focusing on treatments for chronic myeloid leukemia and Alzheimer’s disease, respectively.

Takeda Pharmaceutical Company Limited (NYSE:TAK) solid fundamentals, driven by consistent revenue growth, strong profit margins, and a commitment to innovation, make it an attractive investment opportunity. Its diversified product portfolio, global market presence, and strategic investments in R&D set the stage for continued long-term growth, making Takeda Pharmaceutical Company Limited (NYSE:TAK) a top choice among Japanese stocks for investors seeking exposure to the pharmaceutical sector.