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#stocktowatch (NYSE:MFG) Mizuho Financial Group, Inc. (NYSE:MFG) Number of Hedge Fund Holders: 12 Mizuho Financial Group, Inc. (NYSE:MFG) stands out as one of Japan's leading financial institutions, making it a strong candidate for inclusion in our list of ten best Japanese stocks to buy now. As the third-largest lender in Japan by assets, Mizuho plays a significant role in the country's banking sector. The company's recent financial performance, driven by favorable economic shifts and strategic positioning, makes it an appealing investment opportunity. In the first quarter of FY 2024, Mizuho Financial Group, Inc. (NYSE:MFG) reported an 18% increase in profit, with net earnings rising to 289 billion yen ($1.9 billion) from 245 billion yen in the same quarter the previous year. This notable growth was largely due to the Bank of Japan's decision to raise interest rates, which significantly improved Mizuho Financial Group, Inc. (NYSE:MFG) profit margins on lending. Specifically, the lender’s loan and deposit rate margin, a key indicator of profitability in its core lending business, climbed to 0.85%, up from 0.76% in the same period a year earlier. This improvement demonstrates the bank’s ability to capitalize on changing interest rate environments and suggests continued growth potential as interest rates rise. Mizuho Financial Group, Inc. (NYSE:MFG) consolidated net profit for the last financial year reached 678 billion yen, close to record levels, and this was achieved before the full effects of higher interest rates could be realized. With the Bank of Japan lifting rates out of negative territory for the first time since 2016, Mizuho Financial Group, Inc. (NYSE:MFG) is well positioned to benefit further from expanding profit margins as it navigates a more favorable lending environment. In fact, the bank has maintained its forecast of record full-year profits of 750 billion yen for FY 2025, signaling confidence in its future performance. The increase in Japan's interest rates has also boosted investor sentiment toward Mizuho, as evidenced by a 5% rise in the company's stock on the same day the central bank raised short-term rates. This, combined with Mizuho Financial Group, Inc. (NYSE:MFG) solid financial fundamentals and a strong forecast, makes the bank an attractive stock for investors looking to gain exposure to Japan's evolving financial landscape. Overall MFG ranks 6th on our list of the best Japanese stocks to buy. While we acknowledge the potential of MFG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than MFG but that trades at less than 5 times its earnings, check out our report about the

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