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Discover Jiangsu Zijin Rural Commercial BankLtd And 2 Other Hidden Chinese Gems
Reviewed by Simply Wall St
As global markets grapple with mixed economic data and investor sentiment remains cautious, the Chinese market has shown resilience, particularly in its small-cap sector. Amid this backdrop, identifying undervalued stocks with strong fundamentals can offer significant opportunities for growth. In this article, we will explore three hidden gems in China’s stock market: Jiangsu Zijin Rural Commercial Bank Ltd and two other promising companies that stand out for their potential despite broader market uncertainties.
Top 10 Undiscovered Gems With Strong Fundamentals In China
| Name | Debt To Equity | Revenue Growth | Earnings Growth | Health Rating |
|---|---|---|---|---|
| Hubei Three Gorges Tourism Group | 11.48% | -4.63% | -2.85% | ★★★★★★ |
| Wuxi Taclink Optoelectronics Technology | 1.29% | 24.61% | -1.11% | ★★★★★★ |
| Yantai Ishikawa Sealing Technology | NA | -4.71% | -12.70% | ★★★★★★ |
| Hangzhou Seck Intelligent Technology | NA | 16.10% | 6.95% | ★★★★★★ |
| Hydsoft TechnologyLtd | 9.94% | 18.09% | 11.48% | ★★★★★★ |
| Kangping Technology (Suzhou) | 17.27% | -7.57% | -9.09% | ★★★★★☆ |
| Hunan Investment GroupLtd | 7.24% | 25.16% | 13.20% | ★★★★★☆ |
| Shandong Sacred Sun Power SourcesLtd | 19.01% | 12.76% | 51.80% | ★★★★★☆ |
| Chongqing Gas Group | 23.23% | 9.54% | 1.00% | ★★★★☆☆ |
| Yuan Cheng CableLtd | 88.62% | 3.34% | 66.80% | ★★★★☆☆ |
Here's a peek at a few of the choices from the screener.
Jiangsu Zijin Rural Commercial BankLtd (SHSE:601860)
Simply Wall St Value Rating: ★★★★★★
Overview: Jiangsu Zijin Rural Commercial Bank Co., Ltd offers a range of banking products and services to both personal and business customers, with a market cap of approximately CN¥9.30 billion.
Operations: Jiangsu Zijin Rural Commercial Bank Co., Ltd generates revenue primarily through its banking products and services offered to personal and business customers. The company reported a market cap of approximately CN¥9.30 billion.
Jiangsu Zijin Rural Commercial Bank, with total assets of CN¥261.6B and equity of CN¥19.0B, offers a compelling investment case. Its total deposits stand at CN¥218.0B, while total loans are CN¥179.0B. The bank has an appropriate level of bad loans at 1.2% and a sufficient allowance for these bad loans at 243%. Despite earnings growth of 4.4% annually over the past five years, recent growth (1.2%) lags behind the industry average of 5.1%.
Anbang Save-Guard GroupLtd (SHSE:603373)
Simply Wall St Value Rating: ★★★★★★
Overview: Anbang Save-Guard Group Co., Ltd. offers financial armed escort and financial outsourcing services, with a market cap of CN¥3.28 billion.
Operations: Anbang Save-Guard Group Co., Ltd. generates revenue primarily from financial armed escort and financial outsourcing services. The company's net profit margin is 15.75%.
Anbang Save-Guard Group Ltd. has demonstrated impressive financial health, with high-quality earnings and a P/E ratio of 27.3x, slightly below the CN market average of 28x. Over the past year, earnings grew by 4.8%, outpacing the Commercial Services industry which saw a -5% change. The company’s debt-to-equity ratio reduced significantly from 11% to 3.4% over five years, indicating prudent financial management and robust growth potential in its sector.
Kingchem (Liaoning) Life Science (SZSE:301509)
Simply Wall St Value Rating: ★★★★★★
Overview: Kingchem (Liaoning) Life Science Co., Ltd. operates in the pharmaceutical industry and has a market cap of CN¥3.93 billion.
Operations: The company generated revenue of CN¥677.27 million from its pharmaceuticals segment.
Kingchem (Liaoning) Life Science, a relatively small player in the pharmaceutical sector, is debt-free and boasts high-quality earnings. Despite recent volatility in its share price over the past three months, it remains profitable with a positive cash flow of US$185.27 million as of August 2024. The company repurchased shares recently and has reduced capital expenditure to US$68.88 million this year from US$77.03 million last year.
Next Steps
- Dive into all 991 of the Chinese Undiscovered Gems With Strong Fundamentals we have identified here.
- Are any of these part of your asset mix? Tap into the analytical power of Simply Wall St's portfolio to get a 360-degree view on how they're shaping up.
- Unlock the power of informed investing with Simply Wall St, your free guide to navigating stock markets worldwide.
Interested In Other Possibilities?
- Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
- Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
- Find companies with promising cash flow potential yet trading below their fair value.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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About SHSE:603373
Anbang Save-Guard GroupLtd
Provides financial armed escort and financial outsourcing services.
