Companies, such as Fullsun International Holdings Group, trading at a market price below their true values are considered to be undervalued. Smart investors can make money from this discrepancy by buying these shares, because they believe the current market prices will eventually move towards their true value. If you’re looking for capital gains in your next investment, I suggest you take a look at my list of potentially undervalued stocks.

Fullsun International Holdings Group Co., Limited (SEHK:627)

Fullsun International Holdings Group Co., Limited, through its subsidiary, Hunan Fullsun Group Co., Ltd., engages in the development of residential properties for the mid-end market in Changsha. Fullsun International Holdings Group was established in 2000 and has a market cap of HKD HK$62.50K, putting it in the small-cap category.

627’s stock is currently floating at around -100% under its actual value of ¥10416.67, at a price tag of HK$1.25, according to my discounted cash flow model. This mismatch indicates a potential opportunity to buy low. Also, 627’s PE ratio is currently around 0.00076x while its Real Estate peer level trades at, 7.04x indicating that relative to its comparable set of companies, we can buy 627’s stock at a cheaper price today. 627 is also strong financially, with near-term assets able to cover upcoming and long-term liabilities.

Continue research on Fullsun International Holdings Group here.

Natural Beauty Bio-Technology Limited (SEHK:157)

Natural Beauty Bio-Technology Limited, an investment holding company, manufactures and sells skin care, beauty, aroma-therapeutic, and health supplements and make-up products under the Natural Beauty brand. Started in 1976, and now run by Wen-Chung Hsiao, the company currently employs 538 people and with the company’s market capitalisation at HKD HK$1.20B, we can put it in the small-cap category.

157’s stock is currently floating at around -52% beneath its value of $1.26, at a price tag of HK$0.60, based on my discounted cash flow model. This difference in price and value gives us a chance to buy low. What’s even more appeal is that 157’s PE ratio is currently around 11.4x compared to its Personal Products peer level of, 23.26x indicating that relative to its comparable set of companies, you can buy 157’s shares at a cheaper price. 157 is also in good financial health, as short-term assets amply cover upcoming and long-term liabilities. 157 has zero debt on its books as well, meaning it has no long term debt obligations to worry about. Continue research on Natural Beauty Bio-Technology here.