Using a very recent data over the period from 2007 to 2012 (sample period 2001–2012), this study estimates the relationship between ownership structure and earnings predictability in Japanese listed companies. In particular, this study investigates how three important categories of ownership (i.e., domestic institutional, foreign and insider ownership) are associated with earnings predictability in Japanese listed firms. The results show that higher domestic institutional (financial) ownership is associated with greater earnings predictability. The findings support the argument that institutional shareholders especially financial institutions ensure effective monitoring over corporate reporting practices which lead to better earnings quality. In sharp contrast, this study finds that incremental foreign institutional ownership in Japanese listed firms is associated with lower earnings predictability. Such finding is contrary to the oversimplifying assumption that increasing cross-border shareholdings is always associated with better earnings quality. This study demonstrates interesting insights regarding the impact of ownership structure on earnings predictability which surely carry significance for Japanese corporate policymakers and future researchers.