As Japan's stock markets show mixed performance, with the Nikkei 225 Index gaining slightly and the broader TOPIX Index experiencing a slight decline, investors are keenly observing how economic indicators and policy expectations will shape opportunities in the small-cap sector. With interest rate adjustments on the horizon and currency fluctuations impacting exporters, identifying strong stocks requires careful consideration of their resilience to these macroeconomic factors. In this environment, a good stock is one that demonstrates robust fundamentals, adaptability to market changes, and potential for growth despite broader economic uncertainties.
Top 10 Undiscovered Gems With Strong Fundamentals In Japan
| Name | Debt To Equity | Revenue Growth | Earnings Growth | Health Rating |
|---|---|---|---|---|
| Ryoyu Systems | NA | 1.08% | 8.08% | ★★★★★★ |
| Intelligent Wave | NA | 6.92% | 15.18% | ★★★★★★ |
| QuickLtd | 0.73% | 9.61% | 14.56% | ★★★★★★ |
| Kanda HoldingsLtd | 30.47% | 4.35% | 18.02% | ★★★★★★ |
| Denyo | 3.49% | 4.30% | 3.66% | ★★★★★☆ |
| GakkyushaLtd | 23.64% | 5.03% | 18.56% | ★★★★☆☆ |
| Ogaki Kyoritsu Bank | 139.93% | 2.20% | -0.27% | ★★★★☆☆ |
| GENOVA | 0.93% | 33.82% | 30.22% | ★★★★☆☆ |
| Nippon Sharyo | 61.34% | -1.68% | -17.07% | ★★★★☆☆ |
| Yukiguni Maitake | 170.63% | -6.51% | -39.66% | ★★★★☆☆ |
Let's uncover some gems from our specialized screener.
Tsuburaya Fields Holdings (TSE:2767)
Simply Wall St Value Rating: ★★★★★★
Overview: Tsuburaya Fields Holdings Inc., with a market cap of ¥147.02 billion, operates in the content-related businesses in Japan.
Operations: The company's primary revenue streams are derived from the PS Business Segment, generating ¥120.91 billion, and the Content & Digital Business Segment, contributing ¥15.80 billion.
Tsuburaya Fields Holdings, a lesser-known player in Japan's entertainment sector, has shown impressive financial health. Trading at 59.9% below its estimated fair value and with a debt-to-equity ratio reduced from 40.4% to 24.5% over five years, the company is positioned well financially. Its earnings growth of 20.9% last year outpaced the Leisure industry’s average of 8.6%, indicating robust performance and potential for future gains in this niche market segment.
- Unlock comprehensive insights into our analysis of Tsuburaya Fields Holdings stock in this health report.
Evaluate Tsuburaya Fields Holdings' historical performance by accessing our past performance report.
MODEC (TSE:6269)
Simply Wall St Value Rating: ★★★★☆☆
Overview: MODEC, Inc. is a general contractor specializing in the engineering, procurement, construction, and installation of floating production systems globally with a market cap of ¥206.63 billion.
Operations: The company generates revenue through the engineering, procurement, construction, and installation of floating production systems. It has a market cap of ¥206.63 billion.
MODEC has shown impressive earnings growth, with a 375.8% increase over the past year, outperforming the Energy Services industry’s 23.6%. The company recently raised its earnings guidance for 2024, projecting revenue of US$4.3 million and operating profit of US$290,000. Additionally, MODEC announced an interim dividend increase to ¥30 per share from ¥10 per share. A strategic alliance with Terra Drone aims to enhance drone inspection technology for FPSOs, potentially tripling inspection efficiency and reducing costs significantly.
- Delve into the full analysis health report here for a deeper understanding of MODEC.
Understand MODEC's track record by examining our Past report.
Financial Partners GroupLtd (TSE:7148)
Simply Wall St Value Rating: ★★★★★☆
Overview: Financial Partners Group Co., Ltd., along with its subsidiaries, offers a range of financial products and services in Japan and has a market cap of ¥195.23 billion.
Operations: Financial Partners Group Co., Ltd. generates revenue through its diverse financial products and services offered in Japan. The company reported a market cap of ¥195.23 billion, indicating its significant presence in the financial sector.
Financial Partners Group Ltd. has seen its debt to equity ratio improve from 309.6% to 266.8% over five years, yet the current net debt to equity ratio is still high at 228.7%. The company reported a notable earnings growth of 55.9% last year, outpacing the Diversified Financial industry’s growth of 24.9%. Recently, it revised its consolidated earnings guidance for fiscal year-end September 2024, projecting net sales of ¥99.5 billion and operating income of ¥25.6 billion
Taking Advantage
- Unlock more gems! Our Japanese Undiscovered Gems With Strong Fundamentals screener has unearthed 710 more companies for you to explore.Click here to unveil our expertly curated list of 713 Japanese Undiscovered Gems With Strong Fundamentals.
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Curious About Other Options?
- 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.
Valuation is complex, but we're here to simplify it.
Discover if Tsuburaya Fields Holdings might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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About TSE:2767
Tsuburaya Fields Holdings
Engages in the content-related businesses in Japan.
Flawless balance sheet, undervalued and pays a dividend.
