Undiscovered Gems in Hong Kong Featuring Dah Sing Banking Group and 2 Promising Small Caps

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As the Hong Kong market navigates a complex landscape influenced by global economic indicators and local investor sentiment, small-cap stocks have shown resilience and potential for growth. Amidst these dynamics, identifying promising stocks requires a keen eye for companies with strong fundamentals and strategic positioning. In this article, we spotlight three undiscovered gems in Hong Kong: Dah Sing Banking Group and two promising small-cap companies that stand out in the current market environment.

Top 10 Undiscovered Gems With Strong Fundamentals In Hong Kong

Name

Debt To Equity

Revenue Growth

Earnings Growth

Health Rating

S.A.S. Dragon Holdings

60.96%

4.62%

10.02%

★★★★★★

Lion Rock Group

16.91%

14.33%

10.15%

★★★★★★

E-Commodities Holdings

21.33%

9.04%

28.46%

★★★★★★

C&D Property Management Group

1.32%

37.15%

41.55%

★★★★★★

PW Medtech Group

0.06%

22.33%

-17.56%

★★★★★★

Changjiu Holdings

NA

11.84%

2.46%

★★★★★★

Tianyun International Holdings

10.09%

-5.59%

-9.92%

★★★★★★

Xin Point Holdings

1.77%

10.88%

22.83%

★★★★★☆

Chongqing Machinery & Electric

28.07%

8.82%

11.12%

★★★★★☆

HBM Holdings

52.89%

66.59%

31.70%

★★★★★☆

Click here to see the full list of 173 stocks from our SEHK Undiscovered Gems With Strong Fundamentals screener.

We'll examine a selection from our screener results.

Dah Sing Banking Group

Simply Wall St Value Rating: ★★★★★☆

Overview: Dah Sing Banking Group Limited, an investment holding company, provides banking, financial, and other related services in Hong Kong, Macau, and the People’s Republic of China with a market cap of HK$9.53 billion.

Operations: The primary revenue streams for Dah Sing Banking Group Limited include Personal Banking (HK$2.68 billion), Corporate Banking (HK$853.60 million), Treasury and Global Markets (HK$1.34 billion), and Mainland China and Macau Banking (HK$176.27 million).

Dah Sing Banking Group, with total assets of HK$262.4B and equity of HK$33.6B, reported earnings growth of 32.3% over the past year, outpacing the industry’s 0.08%. Total deposits are HK$214.6B while loans stand at HK$141.9B, yielding a net interest margin of 2%. The company announced an interim dividend of HKD 0.27 per share for H1 2024 and has a low allowance for bad loans at 43%, with bad loans at 1.9% of total loans.

SEHK:2356 Debt to Equity as at Sep 2024
SEHK:2356 Debt to Equity as at Sep 2024

Wanguo International Mining Group

Simply Wall St Value Rating: ★★★★★☆

Overview: Wanguo International Mining Group Limited, an investment holding company with a market cap of HK$7.17 billion, engages in mining, ore processing, and the sale of concentrate products in the People’s Republic of China and Solomon Islands.