Jiangxi Salt Industry Group And 2 Hidden Small Caps To Enhance Your Portfolio

As Chinese stocks navigate a complex economic landscape marked by mixed inflation signals and uneven growth, investors are increasingly on the lookout for hidden opportunities within the small-cap sector. In this article, we explore Jiangxi Salt Industry Group and two other lesser-known small-cap stocks that could enhance your portfolio, particularly in a market where identifying resilient companies is crucial.

Top 10 Undiscovered Gems With Strong Fundamentals In China

Name	Debt To Equity	Revenue Growth	Earnings Growth	Health Rating
Pan Asian Microvent Tech (Jiangsu)	15.79%	12.88%	6.43%	★★★★★★
Center International GroupLtd	35.04%	4.82%	-39.58%	★★★★★★
Founder Technology GroupLtd	7.56%	-8.80%	15.53%	★★★★★★
Jiangsu Eazytec	24.12%	15.75%	4.26%	★★★★★☆
Xinjiang Torch Gas	4.71%	16.54%	9.37%	★★★★★☆
BGT Group	6.98%	1.62%	-21.98%	★★★★★☆
Sublime China Information	0.60%	6.24%	1.49%	★★★★★☆
Guangdong Kingstrong Technology	0.24%	20.62%	48.81%	★★★★★☆
Haimo Technologies Group	48.58%	0.60%	12.57%	★★★★☆☆
Chongqing Gas Group	23.23%	9.54%	1.00%	★★★★☆☆

Click here to see the full list of 1000 stocks from our Chinese Undiscovered Gems With Strong Fundamentals screener.

Let's dive into some prime choices out of from the screener.

Jiangxi Salt Industry Group (SHSE:601065)

Simply Wall St Value Rating: ★★★★★★

Overview: Jiangxi Salt Industry Group Co., Ltd focuses on the research, development, production, and sale of salt products in China and has a market cap of CN¥5.61 billion.

Operations: Jiangxi Salt Industry Group generates revenue primarily from the sale of salt products in China. The company's market cap stands at CN¥5.61 billion.

Jiangxi Salt Industry Group has shown promising financial health, with earnings growing by 3.5% over the past year, outperforming the Chemicals industry average of -14.6%. The company's debt to equity ratio improved significantly from 70.8% to 2.4% in five years, indicating better financial management. Additionally, it's trading at 78.8% below its estimated fair value and boasts high-quality earnings, making it an intriguing prospect for investors seeking undervalued opportunities in China’s market.

• Click to explore a detailed breakdown of our findings in Jiangxi Salt Industry Group's health report.

• Review our historical performance report to gain insights into Jiangxi Salt Industry Group's's past performance.

Ping An Guangzhou Comm Invest Guanghe Expressway (SZSE:180201)

Simply Wall St Value Rating: ★★★★☆☆

Overview: Ping An Guangzhou Comm Invest Guanghe Expressway Close-end Infrastructure Fund operates as an infrastructure fund with a market cap of CN¥6.85 billion.

Operations: Ping An Guangzhou Comm Invest Guanghe Expressway generates revenue primarily from its transportation infrastructure segment, totaling CN¥798.91 million.

Ping An Guangzhou Comm Invest Guanghe Expressway has shown remarkable earnings growth of 149.6% over the past year, significantly outpacing the Specialized REITs industry at 12.5%. Trading at 51.6% below its estimated fair value, it presents a compelling investment case. The company's interest payments are well covered by EBIT with an 8.6x coverage ratio, and it maintains a satisfactory net debt to equity ratio of 10.1%. Additionally, its recent dividend payout of CNY0.2158 per share underscores solid financial health and shareholder returns.

• Unlock comprehensive insights into our analysis of Ping An Guangzhou Comm Invest Guanghe Expressway stock in this health report.

• Assess Ping An Guangzhou Comm Invest Guanghe Expressway's past performance with our detailed historical performance reports.

Shenzhen Jdd Tech New Material (SZSE:301538)

Simply Wall St Value Rating: ★★★★★☆

Overview: Shenzhen Jdd Tech New Material Co., Ltd specializes in the research, design, development, production, and sale of modified polymer protective materials in China and has a market cap of CN¥4.76 billion.

Operations: Shenzhen Jdd Tech New Material Co., Ltd generates revenue primarily from the sale of modified polymer protective materials. The company's market cap stands at CN¥4.76 billion.

Shenzhen Jdd Tech New Material has shown robust performance with earnings growing by 35.9% in the past year, outpacing the Chemicals industry’s -14.8%. The company repurchased shares recently, signaling confidence in its future prospects. Additionally, it approved a cash dividend of CNY 7 per 10 shares for 2023. Despite a volatile share price over the last three months, its debt to equity ratio rose from 1.1 to 3.2 over five years while maintaining more cash than total debt.

• Get an in-depth perspective on Shenzhen Jdd Tech New Material's performance by reading our health report here.

• Explore historical data to track Shenzhen Jdd Tech New Material's performance over time in our Past section.

Taking Advantage

• Navigate through the entire inventory of 1000 Chinese Undiscovered Gems With Strong Fundamentals here.
• Got skin in the game with these stocks? Elevate how you manage them by using Simply Wall St's portfolio, where intuitive tools await to help optimize your investment outcomes.
• Take control of your financial future using Simply Wall St, offering free, in-depth knowledge of international markets to every investor.

Seeking Other Investments?

• 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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