<div id="readability-page-1"><div><p>As global markets experience varied reactions to economic data and geopolitical developments, Asian equities have shown resilience, with Chinese and Japanese indices posting gains amid positive domestic demand and AI-driven optimism. In this environment, identifying undervalued stocks requires a focus on companies that demonstrate strong fundamentals and potential for growth despite broader market uncertainties.</p><h3>Top 10 Undervalued Stocks Based On Cash Flows In Asia</h3><div><table><tbody><tr><td><strong>Name</strong></td><td><strong>Current Price</strong></td><td><strong>Fair Value (Est)</strong></td><td><strong>Discount (Est)</strong></td></tr><tr><td>Yurtec (TSE:1934)</td><td>¥2498.00</td><td>¥4969.75</td><td>49.7%</td></tr><tr><td>TOKYO BASELtd (TSE:3415)</td><td>¥376.00</td><td>¥751.82</td><td>50%</td></tr><tr><td>SkyCity Entertainment Group (NZSE:SKC)</td><td>NZ$0.63</td><td>NZ$1.23</td><td>48.9%</td></tr><tr><td>Sichuan Kelun-Biotech Biopharmaceutical (SEHK:6990)</td><td>HK$449.20</td><td>HK$898.30</td><td>50%</td></tr><tr><td>Shenzhen Dynanonic (SZSE:300769)</td><td>CN¥80.29</td><td>CN¥156.46</td><td>48.7%</td></tr><tr><td>Plus Alpha ConsultingLtd (TSE:4071)</td><td>¥2339.00</td><td>¥4672.72</td><td>49.9%</td></tr><tr><td>Intco Medical Technology (SZSE:300677)</td><td>CN¥51.75</td><td>CN¥100.82</td><td>48.7%</td></tr><tr><td>Info-Tech Systems (SGX:ITS)</td><td>SGD0.98</td><td>SGD1.92</td><td>49%</td></tr><tr><td>Horizon Robotics (SEHK:9660)</td><td>HK$6.87</td><td>HK$13.54</td><td>49.2%</td></tr><tr><td>Beijing Luzhu Biotechnology (SEHK:2480)</td><td>HK$20.04</td><td>HK$39.19</td><td>48.9%</td></tr></tbody></table></div><p>Click here to see the full list of 204 stocks from our Undervalued Asian Stocks Based On Cash Flows screener.</p><p>We'll examine a selection from our screener results.</p><h2>RFHIC (KOSDAQ:A218410)</h2><p><strong>Overview:</strong> RFHIC Corporation designs and manufactures RF and microwave components for wireless infrastructure, commercial and military radar, and RF energy applications globally, with a market cap of ₩2.64 trillion.</p><p><strong>Operations:</strong> The company's revenue segments include wireless infrastructure, commercial and military radar, and RF energy applications, serving both domestic and international markets.</p><p><strong>Estimated Discount To Fair Value:</strong> 24%</p><p>RFHIC is trading at ₩104,000, significantly below its estimated future cash flow value of ₩136,754.05, indicating potential undervaluation. Despite a volatile share price and declining profit margins from 22.3% to 15.4%, earnings grew by 11.7% last year and are forecast to grow significantly at 29.43% annually over the next three years, outpacing the KR market's revenue growth rate of 13.6%.</p><ul><li>Insights from our recent growth report point to a promising forecast for RFHIC's business outlook.</li><li>Click here and access our complete balance sheet health report to understand the dynamics of RFHIC.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/8d35b4bb-9ac3-4df3-8886-b943244bee99/chart/dcf/query-dGhlbWU9bGlnaHQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/8d35b4bb-9ac3-4df3-8886-b943244bee99/chart/dcf/query-dGhlbWU9bGlnaHQ"/><figcaption>KOSDAQ:A218410 Discounted Cash Flow as at May 2026</figcaption></figure><h2>GKG Precision Machine (SZSE:301338)</h2><p><strong>Overview:</strong> GKG Precision Machine Co., Ltd. provides precision automation equipment both in China and internationally, with a market cap of CN¥21.38 billion.</p><p><strong>Operations:</strong> GKG Precision Machine Co., Ltd. generates revenue through the provision of precision automation equipment across domestic and international markets.</p><p><strong>Estimated Discount To Fair Value:</strong> 11%</p><p>GKG Precision Machine, trading at CN¥200.95, is below its estimated future cash flow value of CN¥225.81, suggesting potential undervaluation. The company reported strong Q1 2026 results with sales of CN¥339.65 million and net income of CN¥64.98 million, reflecting significant year-over-year growth. Despite a volatile share price, earnings grew by 135.1% last year and are projected to grow significantly at 34.36% annually over the next three years, surpassing market expectations.</p><ul><li>The analysis detailed in our GKG Precision Machine growth report hints at robust future financial performance.</li><li>Click to explore a detailed breakdown of our findings in GKG Precision Machine's balance sheet health report.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/f983ee38-85a1-44d1-8078-fc07d059c0f7/chart/dcf/query-dGhlbWU9bGlnaHQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/f983ee38-85a1-44d1-8078-fc07d059c0f7/chart/dcf/query-dGhlbWU9bGlnaHQ"/><figcaption>SZSE:301338 Discounted Cash Flow as at May 2026</figcaption></figure><h2>Nippon Chemi-Con (TSE:6997)</h2><p><strong>Overview:</strong> Nippon Chemi-Con Corporation is involved in the manufacturing and sale of aluminum and other capacitors, precision mechanical components, and electronics equipment across Japan, China, the Americas, Europe, and internationally with a market cap of ¥76.39 billion.</p><p><strong>Operations:</strong> The company's revenue primarily comes from its capacitors segment, which generated ¥127.20 billion.</p><p><strong>Estimated Discount To Fair Value:</strong> 45.9%</p><p>Nippon Chemi-Con, trading at ¥3,170, is significantly undervalued relative to its estimated future cash flow value of ¥5,864.2. Despite earnings growth of 45.3% last year and a projected annual profit increase of 52%, interest payments are not well covered by earnings. The company recently announced a private placement raising ¥9 billion from preferred shares issuance with the Development Bank of Japan Inc., adding financial flexibility amid share price volatility.</p><ul><li>In light of our recent growth report, it seems possible that Nippon Chemi-Con's financial performance will exceed current levels.</li><li>Get an in-depth perspective on Nippon Chemi-Con's balance sheet by reading our health report here.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/315324ed-d0c8-4ff1-baae-94405139c1a7/chart/dcf/query-dGhlbWU9bGlnaHQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/315324ed-d0c8-4ff1-baae-94405139c1a7/chart/dcf/query-dGhlbWU9bGlnaHQ"/><figcaption>TSE:6997 Discounted Cash Flow as at May 2026</figcaption></figure><h2>Turning Ideas Into Actions</h2><ul><li>Investigate our full lineup of 204 Undervalued Asian Stocks Based On Cash Flows right here.</li><li>Have you diversified into these companies? Leverage the power of Simply Wall St's portfolio to keep a close eye on market movements affecting your investments.</li><li>Elevate your portfolio with Simply Wall St, the ultimate app for investors seeking global market coverage.</li></ul><h2>Want To Explore Some Alternatives?</h2><ul><li>Explore high-performing small cap companies that haven't yet garnered significant analyst attention.</li><li>Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.</li><li>Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.</li></ul> <p><em> This article by Simply Wall St is general in nature. <strong>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.</strong> 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.</em></p><div><h3><strong>New: </strong>Manage All Your Stock Portfolios in One Place</h3><p>We've created the <strong>ultimate portfolio companion</strong> for stock investors, <strong>and it's free.</strong></p><p>• Connect an unlimited number of Portfolios and see your total in one currency<br/>• Be alerted to new Warning Signs or Risks via email or mobile<br/>• Track the Fair Value of your stocks<br/></p><p>Try a Demo Portfolio for Free</p></div></div></div>

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<p>Asian equities are showing resilience amid global market fluctuations, with a focus on undervalued stocks. Key companies identified include Yurtec, TOKYO BASE, and Nippon Chemi-Con, all trading below their estimated fair values. For instance, Nippon Chemi-Con is trading at ¥3,170, significantly below its estimated value of ¥5,864.2, despite strong earnings growth. Analysts suggest these stocks may offer growth potential despite broader market uncertainties. The article emphasizes the importance of strong fundamentals in identifying investment opportunities in the current economic climate.</p>

Asian Stocks That May Be Trading Below Estimated Value In May 2026