Stock Analysis

Global Penny Stocks Spotlight: Skellerup Holdings And Two More Standouts

As global markets react to potential shifts in monetary policy, with the Federal Reserve hinting at possible rate cuts, investor sentiment is cautiously optimistic. This environment of fluctuating interest rates and economic indicators underscores the importance of identifying stocks that can weather volatility. While penny stocks might seem like a relic from past trading days, they continue to offer intriguing opportunities for those seeking growth in smaller or newer companies. By focusing on those with robust financials and a clear growth trajectory, investors can uncover hidden value in quality companies.

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Top 10 Penny Stocks Globally

NameShare PriceMarket CapRewards & Risks
EZZ Life Science Holdings (ASX:EZZ)A$2.47A$116.52M✅ 4 ⚠️ 2 View Analysis >
Lever Style (SEHK:1346)HK$1.55HK$940.15M✅ 4 ⚠️ 1 View Analysis >
HSS Engineers Berhad (KLSE:HSSEB)MYR0.675MYR343.22M✅ 4 ⚠️ 3 View Analysis >
Angler Gaming (NGM:ANGL)SEK3.60SEK269.95M✅ 4 ⚠️ 2 View Analysis >
CNMC Goldmine Holdings (Catalist:5TP)SGD0.645SGD261.41M✅ 4 ⚠️ 2 View Analysis >
Deleum Berhad (KLSE:DELEUM)MYR1.51MYR606.35M✅ 5 ⚠️ 1 View Analysis >
Yangzijiang Shipbuilding (Holdings) (SGX:BS6)SGD2.97SGD11.69B✅ 5 ⚠️ 1 View Analysis >
Begbies Traynor Group (AIM:BEG)£1.20£191.01M✅ 4 ⚠️ 3 View Analysis >
Deceuninck (ENXTBR:DECB)€2.085€288.19M✅ 4 ⚠️ 1 View Analysis >
Netgem (ENXTPA:ALNTG)€0.942€31.77M✅ 4 ⚠️ 2 View Analysis >

Click here to see the full list of 3,764 stocks from our Global Penny Stocks screener.

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

Skellerup Holdings (NZSE:SKL)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Skellerup Holdings Limited designs, manufactures, and distributes engineered products for specialist industrial and agricultural applications, with a market cap of NZ$988.20 million.

Operations: Skellerup Holdings generates revenue from two primary segments: Agri, contributing NZ$113.78 million, and Industrial, accounting for NZ$241.28 million.

Market Cap: NZ$988.2M

Skellerup Holdings has shown robust financial performance, with full-year sales reaching NZ$353.48 million and net income rising to NZ$54.55 million. The company boasts high-quality earnings and a satisfactory net debt to equity ratio of 5.2%, with operating cash flow well covering its debt at 237.5%. Earnings growth of 16.3% over the past year surpasses both its industry peers and its five-year average, supported by a high return on equity of 22.7%. Despite trading below estimated fair value, dividend sustainability remains questionable due to insufficient earnings coverage, though short-term liabilities are well-managed by assets exceeding NZ$158.7 million.

NZSE:SKL Financial Position Analysis as at Aug 2025
NZSE:SKL Financial Position Analysis as at Aug 2025

China ITS (Holdings) (SEHK:1900)

Simply Wall St Financial Health Rating: ★★★★★☆

Overview: China ITS (Holdings) Co., Ltd. is an investment holding company that offers products, specialized solutions, and services for infrastructure technology in China and internationally, with a market cap of HK$524.66 million.

Operations: The company generates revenue from its Energy business, which contributes CN¥336.25 million, and its Railway Business, which brings in CN¥483.53 million.

Market Cap: HK$524.66M

China ITS (Holdings) Co., Ltd. has shown a mixed financial performance with stable weekly volatility over the past year, although it remains higher than most Hong Kong stocks. The company's price-to-earnings ratio of 21.8x is below the IT industry average, suggesting potential value. Despite having more cash than total debt and sufficient short-term assets to cover liabilities, its operating cash flow is negative, indicating challenges in covering debt effectively. Profit margins have declined significantly from last year due to large one-off losses impacting results, and recent earnings growth has been negative amidst volatile share prices.

SEHK:1900 Financial Position Analysis as at Aug 2025
SEHK:1900 Financial Position Analysis as at Aug 2025

LX Technology Group (SEHK:2436)

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: LX Technology Group Limited offers device lifecycle management solutions in the People's Republic of China and Hong Kong, with a market capitalization of approximately HK$1.24 billion.

Operations: The company's revenue is primarily derived from device recycling at CN¥1.84 billion, followed by device subscription at CN¥379.48 million and IT technical subscription at CN¥156.55 million.

Market Cap: HK$1.24B

LX Technology Group Limited has demonstrated a significant financial turnaround, reporting a net income of CN¥5.66 million for the first half of 2025, compared to a net loss in the previous year. Revenue increased notably due to expanded service offerings and improved operational efficiency, contributing to reduced operating expenses. Despite this progress, the company remains unprofitable with negative return on equity and high share price volatility. Short-term assets comfortably cover liabilities, but cash runway is limited if free cash flow continues to decline. The management team is experienced with an average tenure of over six years.

SEHK:2436 Debt to Equity History and Analysis as at Aug 2025
SEHK:2436 Debt to Equity History and Analysis as at Aug 2025

Summing It All Up

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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