Undiscovered Gems in Hong Kong August 2024

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Despite recent volatility in global markets, the Hong Kong market has shown resilience, with the Hang Seng Index gaining 0.85% amidst broader economic uncertainties. This environment presents a unique opportunity to explore lesser-known stocks that may offer significant potential for growth. When considering stocks in such a dynamic market, it's essential to look for companies with strong fundamentals and innovative strategies that can thrive despite external pressures.

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%

★★★★★★

COSCO SHIPPING International (Hong Kong)

NA

-12.97%

12.59%

★★★★★★

PW Medtech Group

NA

17.93%

-2.70%

★★★★★★

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%

★★★★★☆

Time Interconnect Technology

212.50%

27.21%

15.01%

★★★★☆☆

Pizu Group Holdings

48.34%

-4.53%

-19.78%

★★★★☆☆

Click here to see the full list of 173 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, with a market cap of HK$9.86 billion, is an investment holding company involved in the extraction and sale of coal products in the People’s Republic of China.

Operations: Kinetic Development Group generates revenue primarily from the extraction and sale of coal products in China. The company's net profit margin is currently at 15.23%.

Kinetic Development Group, a smaller player in Hong Kong's market, has shown mixed performance recently. The company repurchased shares in 2024 and announced a special dividend of HK$0.04 per share with payment on September 9, 2024. Its debt to equity ratio improved from 26.6% to 17.6% over five years, and interest payments are well covered by EBIT at 55.7x coverage. Despite high-quality earnings, it faced -22% earnings growth last year compared to the industry average of -6.8%.

SEHK:1277 Earnings and Revenue Growth as at Aug 2024
SEHK:1277 Earnings and Revenue Growth as at Aug 2024

YiChang HEC ChangJiang Pharmaceutical

Simply Wall St Value Rating: ★★★★★☆

Overview: YiChang HEC ChangJiang Pharmaceutical Co., Ltd. is engaged in the research, development, production, and sales of pharmaceutical products with a market cap of HK$8.39 billion.