The names of 6 carefully selected stocks from the 35 newly added TOPIX constituents were released, with TIER IV, an autonomous-driving-related company, included among them. TIER IV was already listed on the TSE Growth Market in July 2026 and is developing its autonomous-driving technology business centred on Autoware.
Thirty-five stocks were announced as new TOPIX constituents, of which 6 were identified by name as “under-the-radar high-potential stocks.” This article focuses on the named list and the realities of the related businesses.
TIER IV is a Japan-origin venture engaged in developing autonomous-driving systems and supporting their commercial implementation. Founded in 2015, it listed on the TSE Growth Market in July 2026 and provides autonomous-driving software based on Autoware. Its revenue sources include the development and sale of autonomous vehicles, support for demonstration trials and technology provision to automakers.
The company is promoting the commercial implementation of autonomous driving and has conducted demonstration trials of autonomous buses in 127 areas across 39 prefectures. In 2024, it entered into a capital and business alliance with Suzuki to develop autonomous-driving technology for regional transportation. In 2025, it began collaborating with Komatsu and others on autonomous construction machinery, and in 2026 agreed to collaborate with KDDI on the commercial implementation of autonomous-driving services.
Financially, however, R&D investment is leading to continued losses, and risks including delays in adoption and equity dilution arising from capital raising have been identified. Going forward, the challenges will be to establish a business model that generates recurring earnings and a path to profitability, in addition to sales growth.