As trade negotiations between major economies progress, Asian markets have shown resilience, with Chinese and Japanese indices posting gains amid optimism over tariff discussions. In this environment, identifying undervalued stocks can be a strategic move for investors seeking opportunities to capitalize on potential market corrections or growth in these regions.

Name

Current Price

Fair Value (Est)

Discount (Est)

Wanguo Gold Group (SEHK:3939)

HK$30.40

HK$60.10

49.4%

Suzhou Zelgen BiopharmaceuticalsLtd (SHSE:688266)

CNÂ¥111.83

CNÂ¥222.46

49.7%

SpiderPlus (TSE:4192)

Â¥500.00

Â¥991.05

49.5%

Shenzhen KSTAR Science and Technology (SZSE:002518)

CNÂ¥23.17

CNÂ¥46.13

49.8%

Sheng Siong Group (SGX:OV8)

SGD2.10

SGD4.16

49.5%

Nan Ya Printed Circuit Board (TWSE:8046)

NT$177.50

NT$349.25

49.2%

Insource (TSE:6200)

Â¥923.00

Â¥1827.05

49.5%

Forum Engineering (TSE:7088)

Â¥1222.00

Â¥2414.31

49.4%

Elan (TSE:6099)

Â¥858.00

Â¥1694.90

49.4%

ALUX (KOSDAQ:A475580)

â‚©11360.00

â‚©22580.69

49.7%

Click here to see the full list of 268 stocks from our Undervalued Asian Stocks Based On Cash Flows screener.

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

Overview: Innovent Biologics, Inc. is a biopharmaceutical company focused on the research and development of antibody and protein medicine products across China, the United States, and internationally, with a market cap of approximately HK$167.52 billion.

Operations: The company’s revenue primarily comes from its biotechnology segment, generating approximately CNÂ¥9.42 billion.

Estimated Discount To Fair Value: 17%

Innovent Biologics appears undervalued based on discounted cash flow analysis, trading at HK$98 against a fair value estimate of HK$118.1. Despite low forecasted return on equity, the company’s earnings growth is expected to outpace the market significantly, driven by innovative therapies like IBI343 for gastric cancer and mazdutide for obesity management. Recent clinical milestones and a successful follow-on equity offering of HK$4.31 billion bolster its financial position and growth potential in Asia’s biopharmaceutical landscape.

SEHK:1801 Discounted Cash Flow as at Aug 2025 SEHK:1801 Discounted Cash Flow as at Aug 2025

Overview: Shanghai Conant Optical Co., Ltd. manufactures and sells resin spectacle lenses across Mainland China, the Americas, Asia, Europe, Oceania, and Africa with a market cap of HK$21.02 billion.

Story Continues

Operations: The company’s revenue primarily comes from the manufacturing and sales of resin spectacle lenses, amounting to CNÂ¥2.06 billion.

Estimated Discount To Fair Value: 40.9%

Shanghai Conant Optical is trading at HK$43.8, significantly below its fair value estimate of HK$74.1, suggesting undervaluation based on discounted cash flow analysis. The company’s earnings are forecast to grow faster than the Hong Kong market at 19% annually, supported by strong sales in high refractive index products. Recent guidance indicates a net profit increase of at least 30% for the first half of 2025, driven by increased average selling prices and product mix improvements.

SEHK:2276 Discounted Cash Flow as at Aug 2025 SEHK:2276 Discounted Cash Flow as at Aug 2025

Overview: Sichuan Kelun-Biotech Biopharmaceutical Co., Ltd. is a biopharmaceutical company focused on the research, development, manufacturing, and commercialization of novel drugs in oncology and immunology both in China and internationally, with a market capitalization of approximately HK$95.07 billion.

Operations: The company generates revenue primarily from its pharmaceuticals segment, amounting to approximately CNÂ¥1.93 billion.

Estimated Discount To Fair Value: 24.7%

Sichuan Kelun-Biotech Biopharmaceutical is trading at HK$416, below its estimated fair value of HK$552.16, reflecting potential undervaluation based on cash flows. Revenue growth is projected at 28.4% annually, surpassing the Hong Kong market’s average and highlighting robust expansion prospects. The company anticipates becoming profitable within three years, with earnings expected to grow by 37% per year. Recent developments include a follow-on equity offering of HK$1.96 billion and significant progress in clinical trials for innovative cancer treatments.

SEHK:6990 Discounted Cash Flow as at Aug 2025 SEHK:6990 Discounted Cash Flow as at Aug 2025

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 SEHK:1801 SEHK:2276 and SEHK:6990.

This article was originally published by Simply Wall St.

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