The Japanese stock market is on fire. That market, as measured by the Nikkei 225 index (the equivalent of the S&P 500), is far outperforming the U.S. market this year. The Nikkei 225 has soared 35% in 2026 and almost 15% over the past month. For comparison, the S&P 500 is up about 11% year to date and 4.8% over the past month.
As in the U.S. market, tech stocks — particularly those related to the artificial intelligence (AI) infrastructure build-out — are driving the market’s rally. Two of the hottest Japanese stocks are Taiyo Yuden (TYOYY 9.76%) and Murata Manufacturing (MRAAY 8.05%).
Headquartered in Tokyo, Taiyo Yuden manufactures electronic components, including ceramic and aluminum capacitors, inductors, circuit modules, noise suppression components, chip antennas, and related products.
Image source: Getty Images.
The company’s multi-layer ceramic capacitors (MLCCs) regulate…
