Unearthing Three Promising Small Cap Stocks in Asia
Top 10 Undiscovered Gems With Strong Fundamentals In Asia
Name
Debt To Equity
Revenue Growth
Earnings Growth
Health Rating
Xuchang Yuandong Drive ShaftLtd
0.03%
-13.23%
-30.14%
★★★★★★
TCM Biotech International
2.98%
5.76%
-0.13%
★★★★★★
Showbox
NA
10.08%
7.87%
★★★★★★
Suzhou Sepax Technologies
0.04%
21.44%
34.83%
★★★★★★
Hokkan Holdings
66.84%
-5.71%
18.42%
★★★★★☆
Nikko
29.66%
6.43%
-3.15%
★★★★★☆
Hong Leong Finance
0.07%
6.89%
6.61%
★★★★★☆
KC
2.19%
8.76%
-0.47%
★★★★★☆
Huang Hsiang Construction
268.99%
13.29%
10.70%
★★★★☆☆
Shanghai Material Trading
3.58%
-6.74%
-5.92%
★★★★☆☆
Click here to see the full list of 2608 stocks from our Asian Undiscovered Gems With Strong Fundamentals screener.
We're going to check out a few of the best picks from our screener tool.
Zhejiang Cheng Yi Pharmaceutical
Simply Wall St Value Rating: ★★★★★☆
Overview: Zhejiang Cheng Yi Pharmaceutical Co., Ltd. operates in the pharmaceutical industry and has a market cap of CN¥4.15 billion.
Operations: Cheng Yi Pharmaceutical generates revenue from its operations in the pharmaceutical industry, with a market capitalization of CN¥4.15 billion.
Zhejiang Cheng Yi Pharmaceutical, with its robust earnings growth of 37.2% over the past year, outperformed the broader Pharmaceuticals industry, which saw a -2.5% change. Despite a volatile share price recently, it trades at 31.3% below estimated fair value, suggesting potential undervaluation. The company reported net income of CNY 200.7 million for 2024 and basic earnings per share rose to CNY 0.61 from CNY 0.50 last year, reflecting strong financial health despite an increased debt-to-equity ratio from 1.3% to 14.9%. A notable one-off gain of CN¥60 million also influenced recent results positively.
Get an in-depth perspective on Zhejiang Cheng Yi Pharmaceutical's performance by reading our health report here.
Gain insights into Zhejiang Cheng Yi Pharmaceutical's historical performance by reviewing our past performance report.
Moon Environment TechnologyLtd
Simply Wall St Value Rating: ★★★★★★
Overview: Moon Environment Technology Co., Ltd. engages in the refrigeration and air conditioning industry both within China and internationally, with a market capitalization of CN¥11.70 billion.
Operations: Moon Environment Technology Co., Ltd. generates revenue through its operations in the refrigeration and air conditioning sectors, serving both domestic and international markets. The company has a market capitalization of CN¥11.70 billion.
Moon Environment Technology, a small player in the machinery sector, offers an intriguing mix of financial metrics. Despite a 10.7% negative earnings growth last year, the company is projected to boost earnings by 12.71% annually. Trading at 41.3% below its estimated fair value suggests potential upside for investors seeking undervalued opportunities. The debt-to-equity ratio has improved significantly from 25.5% to 14% over five years, reflecting prudent financial management with more cash than total debt on hand and positive free cash flow reported consistently. Recent events include a stock split and dividend approval, indicating shareholder-friendly policies amidst executive changes and updated bylaws.
Delve into the full analysis health report here for a deeper understanding of Moon Environment TechnologyLtd.
Gain insights into Moon Environment TechnologyLtd's past trends and performance with our Past report.
Hamaton Automotive Technology
Simply Wall St Value Rating: ★★★★★★
Overview: Hamaton Automotive Technology Co., Ltd is a global manufacturer and supplier of automotive products, with a market capitalization of CN¥5.29 billion.
Operations: Hamaton Automotive Technology generates revenue primarily from its car parts segment, which contributed CN¥1.07 billion.
Hamaton Automotive Technology, a small cap player in the auto components sector, showcases a robust financial profile. Over the past five years, its earnings have grown an impressive 22.2% annually, while maintaining a healthy debt-to-equity ratio that has significantly decreased from 49.7% to just 1%. The company also enjoys high-quality earnings and positive free cash flow. Recent performance highlights include net income of CNY 123.62 million for 2024 and a first-quarter net income of CNY 36.93 million in 2025, reflecting solid operational efficiency despite slightly lower quarterly sales compared to last year.
Click to explore a detailed breakdown of our findings in Hamaton Automotive Technology's health report.
Learn about Hamaton Automotive Technology's historical performance.
Summing It All Up
Click here to access our complete index of 2608 Asian Undiscovered Gems With Strong Fundamentals.
Are these companies part of your investment strategy? Use Simply Wall St to consolidate your holdings into a portfolio and gain insights with our comprehensive analysis tools.
Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors.
Want To Explore Some Alternatives?
Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
Find companies with promising cash flow potential yet trading below their fair value.
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 SHSE:603811 SZSE:000811 and SZSE:300643.
Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@simplywallst.com
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