Discovering Hidden Gems in Japan for September 2024

In This Article:

As Japan's stock markets rise, buoyed by a weakening yen and supportive monetary policies, investors are increasingly looking for opportunities in the small-cap sector. With this favorable backdrop, now is an opportune time to explore some of the lesser-known yet promising stocks that could offer substantial growth potential. In such a dynamic environment, identifying good stocks often involves looking at companies with strong fundamentals and unique market positions that can capitalize on current economic conditions.

Top 10 Undiscovered Gems With Strong Fundamentals In Japan

Name

Debt To Equity

Revenue Growth

Earnings Growth

Health Rating

Central Forest Group

NA

7.05%

14.29%

★★★★★★

Totech

16.86%

5.13%

11.52%

★★★★★★

Techno Quartz

18.64%

16.15%

22.17%

★★★★★★

Soliton Systems K.K

0.58%

5.04%

16.76%

★★★★★★

Icom

NA

4.68%

14.92%

★★★★★★

Marusan Securities

5.33%

1.01%

10.00%

★★★★★☆

YagiLtd

32.86%

-9.57%

-0.12%

★★★★☆☆

GakkyushaLtd

23.64%

5.03%

18.56%

★★★★☆☆

Yukiguni Maitake

170.63%

-6.51%

-39.66%

★★★★☆☆

Hakuto

56.93%

8.02%

27.72%

★★★★☆☆

Click here to see the full list of 755 stocks from our Japanese Undiscovered Gems With Strong Fundamentals screener.

Underneath we present a selection of stocks filtered out by our screen.

MODEC

Simply Wall St Value Rating: ★★★★☆☆

Overview: MODEC, Inc. is a general contractor specializing in the engineering, procurement, construction, and installation of floating production systems globally with a market cap of ¥225.07 billion.

Operations: MODEC, Inc. generates revenue primarily through the engineering, procurement, construction, and installation of floating production systems. The company has a market cap of ¥225.07 billion.

MODEC, a small-cap energy services company, has shown impressive earnings growth of 375.8% over the past year and is trading at 98.8% below its estimated fair value. Recently, MODEC raised its interim dividend to ¥30 per share and revised its revenue forecast for 2024 to US$4.3 million from US$3.9 million. Additionally, the company entered a strategic R&D agreement with Terra Drone to enhance drone inspections for FPSOs, aiming to triple inspection efficiency and reduce costs significantly.

TSE:6269 Earnings and Revenue Growth as at Sep 2024
TSE:6269 Earnings and Revenue Growth as at Sep 2024

Financial Partners GroupLtd

Simply Wall St Value Rating: ★★★★★☆

Overview: Financial Partners Group Co., Ltd. and its subsidiaries offer a range of financial products and services in Japan, with a market cap of ¥198.95 billion.

Operations: Financial Partners Group Co., Ltd. generates revenue primarily through the provision of financial products and services in Japan. The company reported a market cap of ¥198.95 billion.