As global markets navigate challenges such as trade policy uncertainties and inflation concerns, the Asian stock market remains a focal point for investors seeking opportunities. In this environment, identifying undervalued stocks can be particularly appealing, as these investments may offer potential value when broader market conditions stabilize.
Click here to see the full list of 275 stocks from our Undervalued Asian Stocks Based On Cash Flows screener.
Let’s dive into some prime choices out of the screener.
Overview: China Jushi Co., Ltd. manufactures and sells fiberglass both domestically and internationally, with a market cap of CN¥48.92 billion.
Operations: The company’s revenue primarily comes from the production and sales of glass fiber and its products, totaling CN¥15.08 billion.
Estimated Discount To Fair Value: 10.7%
China Jushi, trading at CN¥12.22, is 10.7% below its estimated fair value of CN¥13.68, indicating potential undervaluation based on cash flows. The company’s earnings are forecast to grow significantly at 27.4% annually, outpacing the Chinese market’s growth rate of 25.2%. However, profit margins have declined from last year due to large one-off items and dividends are not well covered by free cash flows, suggesting some financial caution is warranted.
SHSE:600176 Discounted Cash Flow as at Mar 2025
Overview: Tibet Rhodiola Pharmaceutical Holding Co. operates in the pharmaceutical industry, focusing on the development and sale of traditional Tibetan medicine, with a market cap of CN¥12.74 billion.
Operations: The company generates its revenue primarily from the development and sale of traditional Tibetan medicine.
Estimated Discount To Fair Value: 33.6%
Story Continues
Tibet Rhodiola Pharmaceutical Holding, priced at CN¥39.53, is trading 33.6% below its estimated fair value of CN¥59.52, highlighting undervaluation based on cash flows. Despite slower earnings growth forecasts of 16.6% compared to the Chinese market’s 25.2%, revenue is expected to grow robustly at 25.9% annually, surpassing market averages. Recent earnings showed a net income increase from CN¥800.91 million to CN¥1,051.29 million year-over-year despite declining sales figures.
SHSE:600211 Discounted Cash Flow as at Mar 2025
Overview: Baycurrent, Inc. offers consulting services in Japan and has a market cap of ¥1.01 trillion.
Operations: Baycurrent, Inc.’s revenue is primarily derived from its consulting services in Japan.
Estimated Discount To Fair Value: 27.8%
BayCurrent Consulting is trading at ¥6,663, significantly below its estimated fair value of ¥9,226.38, indicating potential undervaluation based on cash flows. The company’s earnings are forecast to grow at 19.9% annually, outpacing the Japanese market’s 8.1%. Revenue growth is expected at 18.6% per year but remains below the 20% threshold for high growth classification. Recent volatility in share price may present both opportunities and risks for investors considering this stock.
TSE:6532 Discounted Cash Flow as at Mar 2025
Explore the 275 names from our Undervalued Asian Stocks Based On Cash Flows screener here.
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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.
Companies discussed in this article include SHSE:600176 SHSE:600211 and TSE:6532.
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