<div id="readability-page-1"><div><p>As global markets experience a rally driven by strong corporate earnings and resilient labor data, small-cap stocks have gained attention, with the Russell 2000 Index showing notable year-to-date growth. In this dynamic environment, identifying undiscovered gems requires a keen eye for companies that demonstrate potential through innovative strategies or niche market positions.</p><h3>Top 10 Undiscovered Gems With Strong Fundamentals Globally</h3><div><table><tbody><tr><th>Name</th><th>Debt To Equity</th><th>Revenue Growth</th><th>Earnings Growth</th><th>Health Rating</th></tr><tr><td>VICOM</td><td>NA</td><td>9.48%</td><td>7.34%</td><td>★★★★★★</td></tr><tr><td>Thai Steel Cable</td><td>NA</td><td>0.80%</td><td>13.53%</td><td>★★★★★★</td></tr><tr><td>Al Wathba National Insurance Company PJSC</td><td>10.35%</td><td>8.65%</td><td>-7.40%</td><td>★★★★★★</td></tr><tr><td>MOBI Industry</td><td>7.46%</td><td>5.89%</td><td>17.98%</td><td>★★★★★★</td></tr><tr><td>Taiyo KagakuLtd</td><td>0.67%</td><td>6.44%</td><td>9.86%</td><td>★★★★★☆</td></tr><tr><td>Saudi Chemical Holding</td><td>47.39%</td><td>17.85%</td><td>39.66%</td><td>★★★★★☆</td></tr><tr><td>Etihad GO Telecom</td><td>0.74%</td><td>38.31%</td><td>54.97%</td><td>★★★★★☆</td></tr><tr><td>Zahrat Al Waha For Trading</td><td>56.06%</td><td>-0.88%</td><td>-37.72%</td><td>★★★★☆☆</td></tr><tr><td>Wison Engineering Services</td><td>30.85%</td><td>3.46%</td><td>33.24%</td><td>★★★★☆☆</td></tr><tr><td>Oshidori International Holdings</td><td>3.87%</td><td>-17.24%</td><td>-13.91%</td><td>★★★★☆☆</td></tr></tbody></table></div><p> Click here to see the full list of 3083 stocks from our Global Undiscovered Gems With Strong Fundamentals screener.     </p><p>We're going to check out a few of the best picks from our screener tool.</p><h2>Xiamen Jihong (SZSE:002803)</h2><p><strong>Simply Wall St Value Rating:</strong> ★★★★★☆</p><p><strong>Overview:</strong> Xiamen Jihong Co., Ltd operates in the cross-border social e-commerce and paper packaging sectors both within Mainland China and internationally, with a market cap of CN¥9.30 billion.</p><p><strong>Operations:</strong> The company generates revenue through its cross-border social e-commerce and paper packaging sectors. It has a market capitalization of approximately CN¥9.30 billion, with financial performance influenced by its operations in both domestic and international markets.</p><p>Xiamen Jihong, a company with a market presence in the media industry, reported impressive earnings growth of 46.3% over the past year, outpacing the sector's downturn of 8%. Despite a challenging five-year period with average annual earnings decline of 9.8%, its recent performance highlights potential recovery. The company's price-to-earnings ratio stands at 34.1x, which is favorable compared to the broader CN market's 51.7x. With interest payments well covered by EBIT at 49 times and more cash than total debt, financial stability appears robust despite shareholder dilution last year due to share repurchases and cancellations related to performance targets not being met.</p><ul><li>Navigate through the intricacies of Xiamen Jihong with our comprehensive health report here.</li><li>Review our historical performance report to gain insights into Xiamen Jihong's's past performance.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/7c5d0fef-809b-41a4-a7b5-c536b77666fa/chart/debt-equity-history-analysis?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/7c5d0fef-809b-41a4-a7b5-c536b77666fa/chart/debt-equity-history-analysis"/><figcaption>SZSE:002803 Debt to Equity as at May 2026</figcaption></figure><h2>Shenzhen Jdd Tech New Material (SZSE:301538)</h2><p><strong>Simply Wall St Value Rating:</strong> ★★★★★☆</p><p><strong>Overview:</strong> Shenzhen Jdd Tech New Material Co., Ltd focuses on the research, design, development, production, and sale of modified polymer protective materials in China with a market cap of CN¥6.80 billion.</p><p><strong>Operations:</strong> The company generates revenue primarily from the sale of modified polymer protective materials. It experiences fluctuations in its net profit margin, which is a key indicator of its profitability.</p><p>Shenzhen Jdd Tech New Material, a nimble player in the materials sector, showcases a promising yet challenging outlook. The company's earnings grew by 3.5% over the past year, outpacing the industry average of 3.4%, which indicates competitive strength. However, its debt to equity ratio has increased from 1.2% to 1.7% over five years, suggesting rising leverage concerns despite having more cash than total debt. Recent quarterly results show sales at CNY 225.96 million and net income at CNY 35.73 million, both slightly lower than last year’s figures of CNY 229.26 million and CNY 47.08 million respectively, hinting at potential headwinds ahead in maintaining profitability momentum amidst market conditions.</p><ul><li>Get an in-depth perspective on Shenzhen Jdd Tech New Material's performance by reading our health report here.</li><li>Explore historical data to track Shenzhen Jdd Tech New Material's performance over time in our Past section.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/166e92bd-7dcb-4b7e-8deb-330ec4f5c8c7/chart/earnings-and-revenue-growth?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/166e92bd-7dcb-4b7e-8deb-330ec4f5c8c7/chart/earnings-and-revenue-growth"/><figcaption>SZSE:301538 Earnings and Revenue Growth as at May 2026</figcaption></figure><h2>Nippon Kayaku (TSE:4272)</h2><p><strong>Simply Wall St Value Rating:</strong> ★★★★★☆</p><p><strong>Overview:</strong> Nippon Kayaku Co., Ltd. operates in the mobility and imaging, fine chemicals, and life sciences sectors in Japan with a market capitalization of ¥264.40 billion.</p><p><strong>Operations:</strong> Nippon Kayaku generates revenue from its mobility and imaging, fine chemicals, and life sciences sectors. The company has a market capitalization of ¥264.40 billion.</p><p>Nippon Kayaku, a notable player in the chemicals sector, has shown impressive earnings growth of 40.7% over the past year, outpacing the industry's 4.6%. Despite this surge, future projections indicate an average annual decline of 6.8% in earnings over the next three years. The company maintains a strong financial position with cash exceeding total debt and a price-to-earnings ratio of 13.1x that remains competitive against Japan's market average of 14.5x. A recent ¥8.1 billion one-off gain significantly impacted its latest financial results, highlighting both opportunities and risks within its operational landscape.</p><ul><li>Dive into the specifics of Nippon Kayaku here with our thorough health report.</li><li>Gain insights into Nippon Kayaku's historical performance by reviewing our past performance report.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/5fa32d32-f582-493a-bc54-5f180618b909/chart/debt-equity-history-analysis?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/5fa32d32-f582-493a-bc54-5f180618b909/chart/debt-equity-history-analysis"/><figcaption>TSE:4272 Debt to Equity as at May 2026</figcaption></figure><h2>Summing It All Up</h2><ul><li>Explore the 3083 names from our Global Undiscovered Gems With Strong Fundamentals screener here.</li><li>Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments.</li><li>Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets.</li></ul><h2>Seeking Other Investments?</h2><ul><li>Explore high-performing small cap companies that haven't yet garnered significant analyst attention.</li><li>Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.</li><li>Find companies with promising cash flow potential yet trading below their fair value.</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.</strong> 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.</em></p><div><h3>Valuation is complex, but we're here to simplify it.</h3><p>Discover if Nippon Kayaku might be undervalued or overvalued with our detailed analysis, featuring <strong>fair value estimates, potential risks, dividends, insider trades, and its financial condition.</strong></p><p>Access Free Analysis</p></div></div></div>

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<p>As global markets rally due to strong corporate earnings, small-cap stocks are gaining attention, particularly the Russell 2000 Index. Notable undiscovered gems include Xiamen Jihong, Shenzhen Jdd Tech, and Nippon Kayaku, each showing strong fundamentals and growth potential. Xiamen Jihong has reported a 46.3% earnings growth, while Shenzhen Jdd Tech and Nippon Kayaku have also demonstrated competitive strengths despite some challenges. Investors are encouraged to explore these companies for potential opportunities in the small-cap sector.</p>

Global Undiscovered Gems Including Xiamen Jihong And Two Promising Small Caps