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The Hong Kong market has recently seen mixed performance, with the benchmark Hang Seng Index gaining 2.14% amidst a backdrop of underwhelming corporate earnings and economic challenges in China. Despite these headwinds, there are opportunities to be found, particularly in undervalued small-cap stocks that have caught the attention of insiders. In this article, we will explore three such small-cap companies that present potential value based on current market conditions and insider buying activities.
Top 10 Undervalued Small Caps With Insider Buying In Hong Kong
Name | PE | PS | Discount to Fair Value | Value Rating |
---|---|---|---|---|
Shenzhen International Holdings | 6.0x | 0.7x | 27.74% | ★★★★★★ |
Ever Sunshine Services Group | 6.0x | 0.4x | 41.22% | ★★★★★☆ |
Lion Rock Group | 5.7x | 0.4x | 48.19% | ★★★★☆☆ |
Ferretti | 10.6x | 0.7x | 47.48% | ★★★★☆☆ |
Meilleure Health International Industry Group | 23.0x | 8.5x | 29.37% | ★★★☆☆☆ |
Giordano International | 9.8x | 0.7x | 21.94% | ★★★☆☆☆ |
Skyworth Group | 5.2x | 0.1x | -166.02% | ★★★☆☆☆ |
Lee & Man Paper Manufacturing | 6.2x | 0.4x | -27.00% | ★★★☆☆☆ |
CN Logistics International Holdings | 20.4x | 0.5x | 21.89% | ★★★☆☆☆ |
Comba Telecom Systems Holdings | NA | 0.6x | 36.96% | ★★★☆☆☆ |
Let's uncover some gems from our specialized screener.
Shanghai Chicmax Cosmetic
Simply Wall St Value Rating: ★★★★☆☆
Overview: Shanghai Chicmax Cosmetic is a company engaged in the manufacture and sale of cosmetic products with a market capitalization of CN¥7.89 billion.
Operations: Shanghai Chicmax Cosmetic's revenue primarily comes from the manufacture and sale of cosmetic products, with a gross profit margin reaching 74.96% as of June 30, 2024. The company incurs significant operating expenses, particularly in sales and marketing, which amounted to CN¥3.41 billion in the same period.
PE: 18.0x
Shanghai Chicmax Cosmetic, a small player in Hong Kong's market, has shown promising growth. For the half year ending June 30, 2024, sales surged to ¥3.5 billion from ¥1.6 billion a year ago, while net income jumped to ¥401 million from ¥101 million. Basic earnings per share rose to ¥1.01 from ¥0.25 last year. Insider confidence is evident with recent share purchases by executives in August 2024, signaling potential undervaluation and future growth prospects for the company.
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Take a closer look at Shanghai Chicmax Cosmetic's potential here in our valuation report.
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Understand Shanghai Chicmax Cosmetic's track record by examining our Past report.
Comba Telecom Systems Holdings
Simply Wall St Value Rating: ★★★☆☆☆
Overview: Comba Telecom Systems Holdings specializes in providing wireless telecommunications network system equipment and services, as well as operator telecommunication services, with a market cap of HK$2.16 billion.