Stock Analysis
Undiscovered Gems With Strong Potential To Watch This August 2024
Reviewed by Simply Wall St
As global markets navigate through volatility driven by growth concerns and technical factors, small-cap stocks have been particularly impacted, with the S&P 600 reflecting these broader market sentiments. Despite this turbulence, economic indicators such as a resilient services sector and easing jobless claims provide a mixed yet hopeful outlook for investors. In this context, identifying promising small-cap stocks requires a keen eye on companies with robust fundamentals and innovative potential that can weather current market conditions. Here are three undiscovered gems with strong potential to watch this August 2024.
Top 10 Undiscovered Gems With Strong Fundamentals
| Name | Debt To Equity | Revenue Growth | Earnings Growth | Health Rating |
|---|---|---|---|---|
| Mobile Telecommunications | NA | 3.85% | -0.40% | ★★★★★★ |
| Impellam Group | 31.12% | -5.43% | -6.86% | ★★★★★★ |
| Ovostar Union | 0.01% | 10.19% | 49.85% | ★★★★★★ |
| Etihad Atheeb Telecommunication | NA | 26.82% | 62.18% | ★★★★★★ |
| Standard Bank | 13.14% | 25.38% | 29.61% | ★★★★★★ |
| African Rainbow Capital Investments | NA | 37.89% | 38.92% | ★★★★★★ |
| Tianyun International Holdings | 10.09% | -5.59% | -9.92% | ★★★★★★ |
| Societe de Limonaderies et de Boissons Rafraichissantes d'Afrique | 39.37% | 8.04% | -3.72% | ★★★★★☆ |
| A2B Australia | 15.83% | -7.78% | 25.44% | ★★★★☆☆ |
| Wilson | 64.79% | 30.09% | 68.29% | ★★★★☆☆ |
Here's a peek at a few of the choices from the screener.
Alexandria Container&Cargo Handling (CASE:ALCN)
Simply Wall St Value Rating: ★★★★★★
Overview: Alexandria Container & Cargo Handling Company specializes in providing container handling services in Egypt and has a market cap of EGP73.37 billion.
Operations: The company generates revenue primarily through specialized container handling services. It reported a net profit margin of 28.5% in the latest financial period.
Alexandria Container & Cargo Handling, with no debt for the past five years, reported net income of EGP 4.08 billion for the nine months ending March 31, 2024, up from EGP 3.19 billion a year ago. Earnings have grown at an impressive annual rate of 27.9% over the past five years and revenue is forecasted to grow by 15.47% per year. Despite high volatility in its share price recently, the company remains free cash flow positive and maintains a high level of non-cash earnings.
- Click here to discover the nuances of Alexandria Container&Cargo Handling with our detailed analytical health report.
Learn about Alexandria Container&Cargo Handling's historical performance.
Çimentas Izmir Çimento Fabrikasi Türk (IBSE:CMENT)
Simply Wall St Value Rating: ★★★★★★
Overview: Çimentas Izmir Çimento Fabrikasi Türk A.S., with a market cap of TRY32.47 billion, produces and sells cement and ready-mixed concrete in Turkey through its subsidiaries.
Operations: Çimentas generates revenue primarily from the sale of cement (TRY8.05 billion) and ready-mixed concrete. The company also has smaller revenue streams from aggregates (TRY325.71 million) and waste management services (TRY193.58 million).
Çimentas Izmir Çimento Fabrikasi Türk has shown significant earnings growth of 55.3% over the past year, outpacing the Basic Materials industry’s 50.9%. The company is debt-free, a notable improvement from five years ago when its debt to equity ratio was 8.9%. Despite reporting a net loss of TRY 32.88 million for Q1 2024, compared to TRY 5.69 million last year, it remains profitable with high-quality earnings and no concerns about cash runway or interest coverage due to its debt-free status.
Organo (TSE:6368)
Simply Wall St Value Rating: ★★★★★☆
Overview: Organo Corporation operates as a water treatment engineering company in Japan, Taiwan, China, Southeast Asia, and internationally with a market cap of ¥294.04 billion.
Operations: Organo Corporation generates revenue primarily from its Water Treatment Engineering Business (¥129.62 billion) and Functional Product Business (¥22.74 billion).
Organo has demonstrated robust growth, with earnings surging by 55.4% over the past year, significantly outpacing the Machinery industry's 13.2%. The company's net debt to equity ratio stands at a satisfactory 17.6%, down from 34.7% five years ago, indicating prudent financial management. Recent guidance projects net sales of ¥160 billion and operating profit of ¥24.5 billion for fiscal year ending March 2025, alongside a dividend payout of ¥53 per share compared to last year's ¥61 per share.
- Get an in-depth perspective on Organo's performance by reading our health report here.
Evaluate Organo's historical performance by accessing our past performance report.
Key Takeaways
- Delve into our full catalog of 4809 Undiscovered Gems With Strong Fundamentals here.
- Hold shares in these firms? Setup your portfolio in Simply Wall St to seamlessly track your investments and receive personalized updates on your portfolio's performance.
- Simply Wall St is a revolutionary app designed for long-term stock investors, it's free and covers every market in the world.
Ready For A Different Approach?
- 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 TSE:6368
Organo
Operates as a water treatment engineering company in Japan, Taiwan, China, Southeast Asia, and internationally.
