Asian Market Value Stocks: 3 Companies Estimated Below Intrinsic Worth

Simply Wall St · 08/10 22:04

As global markets navigate a complex landscape of economic indicators and policy shifts, the Asian market has shown resilience, with indices in China and Japan posting gains amid strong corporate earnings and robust trade data. In this environment, identifying undervalued stocks can be crucial for investors seeking opportunities potentially mispriced by the market; these stocks may offer intrinsic value that is not yet reflected in their current trading prices.

Top 10 Undervalued Stocks Based On Cash Flows In Asia

Name Current Price Fair Value (Est) Discount (Est)
SRE Holdings (TSE:2980) ¥3180.00 ¥6212.44 48.8%
SILICON2 (KOSDAQ:A257720) ₩53700.00 ₩105825.30 49.3%
Nanya Technology (TWSE:2408) NT$43.95 NT$87.08 49.5%
Jiangsu Yunyi ElectricLtd (SZSE:300304) CN¥11.08 CN¥22.02 49.7%
Heartland Group Holdings (NZSE:HGH) NZ$0.80 NZ$1.58 49.5%
Guangdong Marubi Biotechnology (SHSE:603983) CN¥40.73 CN¥79.39 48.7%
GEM (SZSE:002340) CN¥6.54 CN¥13.00 49.7%
Finger (KOSDAQ:A163730) ₩13480.00 ₩26287.68 48.7%
cottaLTD (TSE:3359) ¥442.00 ¥867.58 49.1%
Andes Technology (TWSE:6533) NT$276.50 NT$541.44 48.9%

Click here to see the full list of 277 stocks from our Undervalued Asian Stocks Based On Cash Flows screener.

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

SILICON2 (KOSDAQ:A257720)

Overview: SILICON2 Co., Ltd. is involved in the global distribution of cosmetics products and has a market cap of approximately ₩3.52 trillion.

Operations: The company generates revenue from its wholesale miscellaneous segment, amounting to ₩787.27 million.

Estimated Discount To Fair Value: 49.3%

SILICON2 is trading at ₩53,700, significantly below its estimated fair value of ₩105,825.3, presenting a potential undervaluation based on cash flows. Despite recent earnings volatility and high non-cash earnings, its revenue is expected to grow 20.6% annually—outpacing the Korean market's 7.2% growth rate—while profits are forecasted to increase by 20.75% per year. The company's strong first-quarter net income of KRW 38,785 million supports this outlook despite share price volatility.

KOSDAQ:A257720 Discounted Cash Flow as at Aug 2025
KOSDAQ:A257720 Discounted Cash Flow as at Aug 2025

Damai Entertainment Holdings (SEHK:1060)

Overview: Damai Entertainment Holdings Limited is an investment holding company engaged in content, technology, and IP merchandising and commercialization businesses in Hong Kong and the People's Republic of China, with a market cap of approximately HK$35.25 billion.

Operations: The company's revenue segments include CN¥2.06 billion from Damai, CN¥499.92 million from Drama Series Production, CN¥1.43 billion from IP Merchandising and Innovation Initiatives, and CN¥2.71 billion from its Film Technology and Investment, Production, Promotion and Distribution Platform.

Estimated Discount To Fair Value: 20.9%

Damai Entertainment Holdings, trading at HK$1.18, is undervalued with a fair value estimate of HK$1.49, based on cash flow analysis. Despite recent insider selling and share price volatility, the company reported CNY 6.70 billion in sales for the year ending March 2025—up from CNY 5.03 billion—and net income increased to CNY 363.58 million. Earnings are expected to grow significantly at over 40% annually, outpacing Hong Kong market forecasts.

SEHK:1060 Discounted Cash Flow as at Aug 2025
SEHK:1060 Discounted Cash Flow as at Aug 2025

Accton Technology (TWSE:2345)

Overview: Accton Technology Corporation engages in the research, development, manufacturing, and sale of network communication equipment across Taiwan, America, Asia, Europe, and internationally with a market cap of NT$552.76 billion.

Operations: Accton Technology Corporation generates revenue through its research, development, manufacturing, and sales activities in the field of network communication equipment across various regions including Taiwan, America, Asia, Europe, and other international markets.

Estimated Discount To Fair Value: 37.5%

Accton Technology, trading at NT$989, is undervalued with a fair value estimate of NT$1,581.54 based on cash flow analysis. Recent earnings showed significant growth with second-quarter revenue reaching TWD 60.60 billion and net income at TWD 5.03 billion. Despite high share price volatility, the company's earnings grew by 83.2% over the past year and are forecast to grow significantly at 22.8% annually, outpacing Taiwan's market expectations.

TWSE:2345 Discounted Cash Flow as at Aug 2025
TWSE:2345 Discounted Cash Flow as at Aug 2025

Key Takeaways

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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.