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Oriental Explorer Holdings and Cogobuy Group are companies that are currently trading below what they’re actually worth. Investors can profit from the difference by investing in these stocks as the current market prices should eventually move towards their true values. If capital gains are what you’re after in your next investment, I’ve put together a list of undervalued stocks you may be interested in, based on the latest financial data from each company.
Oriental Explorer Holdings Limited (SEHK:430)
Oriental Explorer Holdings Limited, an investment holding company, engages in the property investment activities in Hong Kong. The company employs 12 people and with the stock’s market cap sitting at HKD HK$340.20M, it comes under the small-cap category.
430’s stock is currently trading at -84% less than its value of $0.77, at a price of HK$0.13, based on its expected future cash flows. This discrepancy signals a potential opportunity to buy 430 shares at a low price. In addition to this, 430’s PE ratio is trading at 1.69x against its its Capital Markets peer level of, 11.71x meaning that relative to its comparable set of companies, 430’s shares can be purchased for a lower price. 430 is also in great financial shape, with current assets covering liabilities in the near term and over the long run.
Continue research on Oriental Explorer Holdings here.
Cogobuy Group (SEHK:400)
Cogobuy Group operates as an e-commerce company serving the electronics manufacturing industry in the People’s Republic of China and Hong Kong. Founded in 2000, and currently lead by Jingwei Kang, the company employs 483 people and with the stock’s market cap sitting at HKD HK$5.80B, it comes under the mid-cap group.
400’s shares are now floating at around -94% below its true level of ¥67.54, at a price tag of HK$3.95, according to my discounted cash flow model. The divergence signals an opportunity to buy 400 shares at a low price. Additionally, 400’s PE ratio is trading at 15.63x while its Online Retail peer level trades at, 41.91x indicating that relative to its comparable company group, 400’s shares can be purchased for a lower price. 400 is also strong in terms of its financial health, with short-term assets covering liabilities in the near future as well as in the long run. Finally, its debt relative to equity is 29.79%, which has been falling for the last couple of years signalling 400’s ability to pay down its debt. More detail on Cogobuy Group here.
Kingboard Chemical Holdings Limited (SEHK:148)
Kingboard Chemical Holdings Limited, an investment holding company, manufactures and sells laminates and printed circuit boards. The company now has 42800 employees and with the stock’s market cap sitting at HKD HK$34.13B, it comes under the large-cap stocks category.