Stock Analysis
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- SHSE:688627
Exploring Xiamen Bank And Two Other Hidden Small Cap Treasures In China
Reviewed by Simply Wall St
Amidst a backdrop of fluctuating global markets, China's small-cap stocks have shown resilience and potential for growth. This trend is particularly evident in the robust performance of indices like the Shanghai Composite and Hang Seng, which have recently benefited from strong export data and strategic economic policies. In this environment, uncovering hidden gems within China's vast market can be particularly rewarding. A good stock often combines solid fundamentals with strategic positioning to capitalize on current economic trends and policy directions.
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% | ★★★★★★ |
| Beijing Foyou PharmaLTD | 2.46% | 0.35% | 19.25% | ★★★★★★ |
| Shandong Link Science and TechnologyLtd | 1.36% | 17.98% | 7.40% | ★★★★★★ |
| Zhejiang Haisen Pharmaceutical | NA | -4.19% | 10.47% | ★★★★★★ |
| Hunan Hansen Pharmaceutical | 4.69% | 2.22% | 4.62% | ★★★★★★ |
| Tibet Development | 56.82% | -1.02% | 53.27% | ★★★★★★ |
| Hunan Investment GroupLtd | 7.24% | 25.16% | 13.20% | ★★★★★☆ |
| Sichuan Fulin Transportation Group | 30.19% | -1.47% | 13.87% | ★★★★★☆ |
| Haimo Technologies Group | 48.58% | 0.60% | 12.57% | ★★★★☆☆ |
| Sichuan Zigong Conveying Machine Group | 26.77% | 15.83% | 1.91% | ★★★★☆☆ |
Here's a peek at a few of the choices from the screener.
Xiamen Bank (SHSE:601187)
Simply Wall St Value Rating: ★★★★★★
Overview: Xiamen Bank Co., Ltd. offers a range of banking solutions to individual, corporate, and small-to-micro financial sectors with a market capitalization of CN¥14.07 billion.
Operations: The bank generates revenue through comprehensive financial services, consistently achieving a gross profit margin of 100%. Its operating expenses have gradually increased over the years, reflecting a growth in general and administrative costs.
Xiamen Bank, a lesser-known yet robust player in the Chinese banking sector, showcases promising financial health with total assets of CN¥393.2 billion and a solid equity base of CN¥31.4 billion. With total deposits at CN¥211.2 billion against loans of CN¥224.5 billion, the bank demonstrates prudent risk management, maintaining bad loans at just 0.7% of total loans—a testament to its cautious lending practices. Moreover, it's trading at a compelling 45.8% below its estimated fair value, highlighting potential for growth-oriented investors drawn to undiscovered gems in dynamic markets like China.
- Click here and access our complete health analysis report to understand the dynamics of Xiamen Bank.
Xiamen Bank (SHSE:601187)
Simply Wall St Value Rating: ★★★★★★
Overview: Xiamen Bank Co., Ltd. offers a range of banking solutions to individual, corporate, and small-to-micro financial sectors with a market capitalization of CN¥14.07 billion.
Operations: The bank generates revenue through comprehensive financial services, consistently achieving a gross profit margin of 100%. Its operating expenses have gradually increased over the years, reflecting a growth in general and administrative costs.
Xiamen Bank, a lesser-known yet robust player in the Chinese banking sector, showcases promising financial health with total assets of CN¥393.2 billion and a solid equity base of CN¥31.4 billion. With total deposits at CN¥211.2 billion against loans of CN¥224.5 billion, the bank demonstrates prudent risk management, maintaining bad loans at just 0.7% of total loans—a testament to its cautious lending practices. Moreover, it's trading at a compelling 45.8% below its estimated fair value, highlighting potential for growth-oriented investors drawn to undiscovered gems in dynamic markets like China.
- Click here and access our complete health analysis report to understand the dynamics of Xiamen Bank.
Shenzhen SEICHI Technologies (SHSE:688627)
Simply Wall St Value Rating: ★★★★★★
Overview: Shenzhen SEICHI Technologies Co., Ltd. is a company based in China that specializes in the research, development, production, and sale of new display device testing equipment, with a market capitalization of CN¥4.32 billion.
Operations: SEICHI Technologies generates revenue primarily through the sale of its tech products, with recent figures showing a substantial revenue of CN¥648.56 billion and a net income of CN¥115.68 billion. The company has demonstrated an increasing trend in gross profit margin, recently recorded at 38.61%.
Shenzhen SEICHI Technologies, recently added to the Shanghai Stock Exchange A Share Index, showcases robust growth potential with a 31.1% earnings increase over the past year, outpacing the electronics industry's -7.7% downturn. This debt-free company benefits from high non-cash earnings and forecasts a 32.61% annual earnings growth. Despite recent volatility and a net loss in Q1 2024, its strategic index inclusion and revenue jump from CNY 51 million to CNY 83 million signal strong market confidence and expansion capabilities.
Shenzhen SEICHI Technologies (SHSE:688627)
Simply Wall St Value Rating: ★★★★★★
Overview: Shenzhen SEICHI Technologies Co., Ltd. is a company based in China that specializes in the research, development, production, and sale of new display device testing equipment, with a market capitalization of CN¥4.32 billion.
Operations: SEICHI Technologies generates revenue primarily through the sale of its tech products, with recent figures showing a substantial revenue of CN¥648.56 billion and a net income of CN¥115.68 billion. The company has demonstrated an increasing trend in gross profit margin, recently recorded at 38.61%.
Shenzhen SEICHI Technologies, recently added to the Shanghai Stock Exchange A Share Index, showcases robust growth potential with a 31.1% earnings increase over the past year, outpacing the electronics industry's -7.7% downturn. This debt-free company benefits from high non-cash earnings and forecasts a 32.61% annual earnings growth. Despite recent volatility and a net loss in Q1 2024, its strategic index inclusion and revenue jump from CNY 51 million to CNY 83 million signal strong market confidence and expansion capabilities.
Jiangsu Tongxingbao Intelligent Transportation Technology (SZSE:301339)
Simply Wall St Value Rating: ★★★★★☆
Overview: Jiangsu Tongxingbao Intelligent Transportation Technology Co., Ltd. specializes in intelligent transportation solutions, with a market capitalization of CN¥8.21 billion.
Operations: The company specializes in computer peripherals, generating CN¥792.10 million in revenue as of the latest reporting period. It has achieved a gross profit margin of 50.26%, reflecting its ability to manage production costs effectively relative to sales.
Jiangsu Tongxingbao Intelligent Transportation Technology, a lesser-known yet promising player in China's tech sector, has shown robust financial and operational growth. With a 10.1% earnings increase outpacing the industry's -7.7%, and predictions of a 29.61% annual growth rate, the company demonstrates strong market potential. Recent financials reveal sales rising to CNY 328.29 million from CNY 277.8 million year-over-year, alongside net income growth to CNY 106.27 million from CNY 98.39 million, reflecting solid profitability and strategic execution.
Jiangsu Tongxingbao Intelligent Transportation Technology (SZSE:301339)
Simply Wall St Value Rating: ★★★★★☆
Overview: Jiangsu Tongxingbao Intelligent Transportation Technology Co., Ltd. specializes in intelligent transportation solutions, with a market capitalization of CN¥8.21 billion.
Operations: The company specializes in computer peripherals, generating CN¥792.10 million in revenue as of the latest reporting period. It has achieved a gross profit margin of 50.26%, reflecting its ability to manage production costs effectively relative to sales.
Jiangsu Tongxingbao Intelligent Transportation Technology, a lesser-known yet promising player in China's tech sector, has shown robust financial and operational growth. With a 10.1% earnings increase outpacing the industry's -7.7%, and predictions of a 29.61% annual growth rate, the company demonstrates strong market potential. Recent financials reveal sales rising to CNY 328.29 million from CNY 277.8 million year-over-year, alongside net income growth to CNY 106.27 million from CNY 98.39 million, reflecting solid profitability and strategic execution.
Next Steps
- Explore the 987 names from our Chinese Undiscovered Gems With Strong Fundamentals screener here.
- Have a stake in these businesses? Integrate your holdings into Simply Wall St's portfolio for notifications and detailed stock reports.
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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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About SHSE:688627
Shenzhen SEICHI Technologies
Engages in the research and development, production, and sale of new display device testing equipment in China.
