3 Asian Stocks Estimated To Be Up To 40.9% Below Intrinsic Value

Yahoo

01-08-2025

As trade negotiations between major economies progress, Asian markets have shown resilience, with Chinese and Japanese indices posting gains amid optimism over tariff discussions. In this environment, identifying undervalued stocks can be a strategic move for investors seeking opportunities to capitalize on potential market corrections or growth in these regions.
Top 10 Undervalued Stocks Based On Cash Flows In Asia
Name
Current Price
Fair Value (Est)
Discount (Est)
Wanguo Gold Group (SEHK:3939)
HK$30.40
HK$60.10
49.4%
Suzhou Zelgen BiopharmaceuticalsLtd (SHSE:688266)
CN¥111.83
CN¥222.46
49.7%
SpiderPlus (TSE:4192)
¥500.00
¥991.05
49.5%
Shenzhen KSTAR Science and Technology (SZSE:002518)
CN¥23.17
CN¥46.13
49.8%
Sheng Siong Group (SGX:OV8)
SGD2.10
SGD4.16
49.5%
Nan Ya Printed Circuit Board (TWSE:8046)
NT$177.50
NT$349.25
49.2%
Insource (TSE:6200)
¥923.00
¥1827.05
49.5%
Forum Engineering (TSE:7088)
¥1222.00
¥2414.31
49.4%
Elan (TSE:6099)
¥858.00
¥1694.90
49.4%
ALUX (KOSDAQ:A475580)
₩11360.00
₩22580.69
49.7%
Click here to see the full list of 268 stocks from our Undervalued Asian Stocks Based On Cash Flows screener.
Let's dive into some prime choices out of the screener.
Innovent Biologics
Overview: Innovent Biologics, Inc. is a biopharmaceutical company focused on the research and development of antibody and protein medicine products across China, the United States, and internationally, with a market cap of approximately HK$167.52 billion.
Operations: The company's revenue primarily comes from its biotechnology segment, generating approximately CN¥9.42 billion.
Estimated Discount To Fair Value: 17%
Innovent Biologics appears undervalued based on discounted cash flow analysis, trading at HK$98 against a fair value estimate of HK$118.1. Despite low forecasted return on equity, the company's earnings growth is expected to outpace the market significantly, driven by innovative therapies like IBI343 for gastric cancer and mazdutide for obesity management. Recent clinical milestones and a successful follow-on equity offering of HK$4.31 billion bolster its financial position and growth potential in Asia's biopharmaceutical landscape.
Our comprehensive growth report raises the possibility that Innovent Biologics is poised for substantial financial growth.
Get an in-depth perspective on Innovent Biologics' balance sheet by reading our health report here.
Shanghai Conant Optical
Overview: Shanghai Conant Optical Co., Ltd. manufactures and sells resin spectacle lenses across Mainland China, the Americas, Asia, Europe, Oceania, and Africa with a market cap of HK$21.02 billion.
Operations: The company's revenue primarily comes from the manufacturing and sales of resin spectacle lenses, amounting to CN¥2.06 billion.
Estimated Discount To Fair Value: 40.9%
Shanghai Conant Optical is trading at HK$43.8, significantly below its fair value estimate of HK$74.1, suggesting undervaluation based on discounted cash flow analysis. The company's earnings are forecast to grow faster than the Hong Kong market at 19% annually, supported by strong sales in high refractive index products. Recent guidance indicates a net profit increase of at least 30% for the first half of 2025, driven by increased average selling prices and product mix improvements.
According our earnings growth report, there's an indication that Shanghai Conant Optical might be ready to expand.
Take a closer look at Shanghai Conant Optical's balance sheet health here in our report.
Sichuan Kelun-Biotech Biopharmaceutical
Overview: Sichuan Kelun-Biotech Biopharmaceutical Co., Ltd. is a biopharmaceutical company focused on the research, development, manufacturing, and commercialization of novel drugs in oncology and immunology both in China and internationally, with a market capitalization of approximately HK$95.07 billion.
Operations: The company generates revenue primarily from its pharmaceuticals segment, amounting to approximately CN¥1.93 billion.
Estimated Discount To Fair Value: 24.7%
Sichuan Kelun-Biotech Biopharmaceutical is trading at HK$416, below its estimated fair value of HK$552.16, reflecting potential undervaluation based on cash flows. Revenue growth is projected at 28.4% annually, surpassing the Hong Kong market's average and highlighting robust expansion prospects. The company anticipates becoming profitable within three years, with earnings expected to grow by 37% per year. Recent developments include a follow-on equity offering of HK$1.96 billion and significant progress in clinical trials for innovative cancer treatments.
Our expertly prepared growth report on Sichuan Kelun-Biotech Biopharmaceutical implies its future financial outlook may be stronger than recent results.
Click to explore a detailed breakdown of our findings in Sichuan Kelun-Biotech Biopharmaceutical's balance sheet health report.
Turning Ideas Into Actions
Get an in-depth perspective on all 268 Undervalued Asian Stocks Based On Cash Flows by using our screener here.
Are any of these part of your asset mix? Tap into the analytical power of Simply Wall St's portfolio to get a 360-degree view on how they're shaping up.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include SEHK:1801 SEHK:2276 and SEHK:6990.
This article was originally published by Simply Wall St.
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