Exploring Undiscovered Gems in Japan for July 2024

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Amid a backdrop of heightened global trade tensions and shifting market dynamics, Japan's stock markets have recently experienced volatility, particularly within the technology sector due to potential U.S. restrictions on semiconductor exports. This turbulence coincides with speculation about upcoming policy adjustments from the Bank of Japan, setting a complex stage for investors looking at the Japanese market in July 2024. In such an environment, identifying stocks that demonstrate robust fundamentals and potential resilience becomes crucial for those seeking opportunities in less explored areas of the market.

Top 10 Undiscovered Gems With Strong Fundamentals In Japan

Name

Debt To Equity

Revenue Growth

Earnings Growth

Health Rating

Business Brain Showa-Ota

0.05%

7.50%

59.43%

★★★★★★

Nihon Parkerizing

0.32%

-0.14%

1.92%

★★★★★★

Nice

71.69%

-1.98%

36.48%

★★★★★★

NPR-Riken

13.26%

6.00%

32.17%

★★★★★☆

Nikko

32.39%

4.11%

-8.57%

★★★★★☆

Ogaki Kyoritsu Bank

130.22%

1.61%

-0.98%

★★★★★☆

Nippon Care Supply

8.20%

10.03%

0.30%

★★★★★☆

CAC Holdings

14.97%

-0.57%

5.02%

★★★★☆☆

GENOVA

6.23%

24.87%

31.14%

★★★★☆☆

Yukiguni Maitake

158.67%

-5.22%

-32.27%

★★★★☆☆

Click here to see the full list of 745 stocks from our Japanese Undiscovered Gems With Strong Fundamentals screener.

Let's review some notable picks from our screened stocks.

J-Oil Mills

Simply Wall St Value Rating: ★★★★★☆

Overview: J-Oil Mills, Inc., a company based in Japan, specializes in the production and sale of edible oils, with a market capitalization of ¥66.28 billion.

Operations: The company generates revenue primarily through the sale of goods, incurring significant costs of goods sold (COGS) which typically represent a substantial portion of its total expenses. Its operational model includes managing operating expenses such as sales and marketing alongside general and administrative costs, aimed at driving net income growth while maintaining a focus on enhancing gross profit margins, which have shown variability over the periods observed.

J-Oil Mills, an intriguing player in Japan's market, has demonstrated notable financial agility with a 588.8% earnings growth last year, outpacing the food industry's 35.8%. Despite a challenging forecast predicting a 22.7% earnings decline annually over the next three years, the company maintains a satisfactory net debt to equity ratio of 24.1%. With high-quality past earnings and its recent Annual General Meeting on June 24, J-Oil Mills continues to captivate investors looking for robust performers in niche markets.