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Asian Market's 3 Value Stock Picks Based On Estimated Valuations

Clyde MorganSunday, Mar 2, 2025 5:31 pm ET
4min read

Asian markets have been volatile in recent months, presenting opportunities for value investors to identify undervalued stocks. By focusing on estimated valuations, investors can uncover potential gems in the Asian market. In this article, we will highlight three Asian stocks that analysts believe have significant upside potential based on their estimated valuations.

1. Kia Corporation (KRX: 000270)
* HSBC Price Target: ₩160,000
* Upside Potential: 64%
* Sector: Automotive
* HSBC Price Target: ₩160,000
* Upside Potential: 64%
* Sector: Automotive
* Kia Corporation is a standout in the electric vehicle (EV) and hybrid vehicle market, with a strong margin profile and strategic product launches. Its first dedicated EV production facility launched in October 2024, positioning the company to scale its operations and offer more affordable, competitive EV models. While geopolitical factors, such as potential trade frictions under a Trump-led administration, could pressure U.S. sales, Kia is expected to counterbalance this through robust market share growth in Europe. With a PE ratio of around 10 times and projected earnings growth of around 10%, Kia is an attractive investment opportunity in the Asian market.
2. Krishna Institute of Medical Sciences (NSE: KIMS)
* HSBC Price Target: ₹670
* Upside Potential: 14%
* Sector: Healthcare
* Krishna Institute of Medical Sciences is a small-cap stock with robust growth potential in the Indian healthcare landscape. The company is leveraging demand for high-end medical procedures, including transplants and oncology, while expanding its reach into underserved markets. A planned 60% increase in bed capacity over the next three years is expected to bolster revenues and sustain margins by optimizing the revenue mix. With a PE ratio of around 10 times and a dividend yield of around 2%, KIMS is an attractive investment opportunity in the Asian market.
3. Meituan (HKG: 3690)
* HSBC Price Target: HK$220
* Upside Potential: 30%
* Sector: Internet Services
* Meituan, China’s dominant player in food delivery and local services, is primed to capitalize on the Chinese government’s recent economic stimulus measures. HSBC highlights Meituan’s strong fundamentals, including high-quality earnings growth, improving profitability, and limited competition, as reasons for its bullish outlook. Despite macroeconomic headwinds, Meituan continues to grow its top line, with analysts forecasting revenue growth of 20% in 2024 and 17% in 2025. With a PE ratio of around 10 times and a dividend yield of around 2%, Meituan is an attractive investment opportunity in the Asian market.



In conclusion, Asian markets offer a diverse range of investment opportunities for value investors. By focusing on estimated valuations, investors can uncover undervalued stocks with significant upside potential. Kia Corporation, Krishna Institute of Medical Sciences, and Meituan are three Asian stocks that analysts believe have substantial growth prospects based on their estimated valuations. As always, investors should conduct thorough research and consider their risk tolerance before making any investment decisions.

Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.