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Undiscovered Gems In Hong Kong For August 2024

In This Article:

As global markets navigate volatility and economic uncertainties, the Hong Kong market has shown resilience with the Hang Seng Index gaining 0.85% recently. Amid this backdrop, discovering promising small-cap stocks can be a strategic move for investors seeking growth opportunities in less crowded spaces. Identifying a good stock often involves looking for companies with strong fundamentals, innovative business models, and potential for sustainable growth—qualities that can shine even amid broader market fluctuations.

Top 10 Undiscovered Gems With Strong Fundamentals In Hong Kong

Name

Debt To Equity

Revenue Growth

Earnings Growth

Health Rating

E-Commodities Holdings

23.22%

6.87%

31.81%

★★★★★★

S.A.S. Dragon Holdings

37.35%

4.13%

12.06%

★★★★★★

PW Medtech Group

NA

17.93%

-2.70%

★★★★★★

China Leon Inspection Holding

17.06%

24.06%

27.08%

★★★★★★

Tianyun International Holdings

10.09%

-5.59%

-9.92%

★★★★★★

JiaXing Gas Group

17.72%

26.04%

22.07%

★★★★★☆

Hung Hing Printing Group

3.97%

-2.51%

33.57%

★★★★★☆

Changjiu Holdings

14.09%

12.87%

-4.74%

★★★★★☆

Mulsanne Group Holding

186.88%

-12.02%

-43.54%

★★★★☆☆

Pizu Group Holdings

48.34%

-4.53%

-19.78%

★★★★☆☆

Click here to see the full list of 174 stocks from our SEHK Undiscovered Gems With Strong Fundamentals screener.

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

Kinetic Development Group

Simply Wall St Value Rating: ★★★★★☆

Overview: Kinetic Development Group Limited (SEHK:1277) is an investment holding company involved in the extraction and sale of coal products in the People’s Republic of China, with a market cap of HK$10.03 billion.

Operations: Kinetic Development Group generates revenue primarily from the extraction and sale of coal products in China. The company reported a net profit margin of 15.23% for the latest fiscal year.

Kinetic Development Group, a smaller player in Hong Kong's market, has faced challenges with negative earnings growth (-22%) over the past year compared to the Oil and Gas industry average of -6.8%. Despite this, its net debt to equity ratio stands at a satisfactory 4.7%, and interest payments are well covered by EBIT (55.7x coverage). Additionally, the company has reduced its debt to equity ratio from 26.6% to 17.6% over five years and is trading at 21.7% below estimated fair value.

SEHK:1277 Debt to Equity as at Aug 2024
SEHK:1277 Debt to Equity as at Aug 2024

Wasion Holdings

Simply Wall St Value Rating: ★★★★★☆

Overview: Wasion Holdings Limited, with a market cap of HK$6.57 billion, specializes in the research and development, production, and sale of energy metering and energy efficiency management solutions for energy supply industries across various global regions including China, Africa, the United States, Europe, and Asia.