Undiscovered Gems in Hong Kong for September 2024

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In recent weeks, Hong Kong's Hang Seng Index has shown resilience, gaining 2.14% amidst mixed performances in global markets and economic uncertainties. As investors navigate these turbulent times, identifying undiscovered gems within the small-cap sector can offer unique opportunities for growth. When searching for promising stocks in this environment, it's crucial to focus on companies that demonstrate strong fundamentals and potential for innovation despite broader market challenges.

Top 10 Undiscovered Gems With Strong Fundamentals In Hong Kong

Name

Debt To Equity

Revenue Growth

Earnings Growth

Health Rating

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%

★★★★★★

ManpowerGroup Greater China

NA

14.56%

1.58%

★★★★★★

China Leon Inspection Holding

8.55%

21.36%

22.77%

★★★★★★

Sundart Holdings

0.92%

-2.32%

-3.94%

★★★★★★

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%

★★★★★☆

Time Interconnect Technology

212.50%

27.21%

15.01%

★★★★☆☆

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.

Xin Yuan Enterprises Group

Simply Wall St Value Rating: ★★★★★★

Overview: Xin Yuan Enterprises Group Limited, an investment holding company, provides asphalt tanker and bulk carrier chartering services in the People’s Republic of China, Hong Kong, and Singapore with a market cap of HK$2.60 billion.

Operations: Xin Yuan Enterprises Group generates revenue primarily from asphalt tanker chartering services (HK$55.49 million) and bulk carrier chartering services (HK$3.63 million).

Xin Yuan Enterprises Group has shown impressive earnings growth, with a 14.6% increase in the past year, outpacing the shipping industry's -29.9%. Its net profit for the first half of 2024 was US$10.69 million, nearly double from US$5.53 million a year ago, driven by a significant one-off gain of US$3.6 million from vessel disposal and increased revenue from asphalt tanker charters. The company’s debt to equity ratio improved to 31.3% over five years from 35.3%, indicating prudent financial management.

SEHK:1748 Earnings and Revenue Growth as at Sep 2024
SEHK:1748 Earnings and Revenue Growth as at Sep 2024

Dah Sing Banking Group

Simply Wall St Value Rating: ★★★★★☆

Overview: Dah Sing Banking Group Limited is an investment holding company that offers banking, financial, and related services in Hong Kong, Macau, and the People’s Republic of China with a market cap of HK$9.77 billion.