Investors looking for hidden gems can turn to the analysis reports from Jin Qilin analysts, known for their authoritative, professional, timely, and comprehensive insights. Which undervalued stocks worth considering exist within the realm of discounted shares?
**Power Equipment Sector Sees Significant Gains** On October 15, the power equipment sector exhibited robust growth, with He Shun Electric and Jin Pan Technology hitting the daily limit surge of “20%”, while Liangxin shares, Zhongheng Electric (defending rights), Baiyun Electric, Sifang shares, Tongda shares (defending rights), and Guodian Nanzhi recorded an increase of “10%.”
Among the stocks hitting the daily limit today, Jin Pan Technology, Guodian Nanzhi, and Sifang shares all achieved historical closing highs. Jin Pan Technology ranks as one of the leading companies in the global transformer industry, with its transformer series products widely employed across new energy, data centers, and charging stations. In the first half of this year, the company reported a net profit of 265 million yuan, a year-on-year increase of 19.1%.
Guodian Nanzhi is a pioneer in the power automation sector, reporting a net profit of 159 million yuan in the first half of this year, up 197.03% year-on-year. Sifang shares, a leading provider of new power system solutions, achieved a net profit of 476 million yuan, reflecting a year-on-year increase of 12.41%.
**Strong Investment Growth for the State Grid** According to CCTV News, from January to September this year, the State Grid completed fixed asset investments exceeding 420 billion yuan, marking an 8.1% year-on-year growth. Significant projects including the Longdong-Shandong and Hami-Chongqing UHVDC projects have been put into operation. The company anticipates that the total investment for the year will surpass 650 billion yuan for the first time.
**List of Quality Undervalued Stocks Published** “Discounted” refers to stocks whose prices fall below their net asset value per share, serving as a critical market valuation indicator. In September 2024, the CSRC issued the “Regulatory Guidelines No. 10 for Listed Companies - Market Value Management (Draft for Comments),” mandating that long-term discounted companies disclose plans for enhancing their valuations during annual performance explanations.
In the past six months, trading in the A-share market has surged, with numerous growth-focused technology stocks receiving aggressive buying. As of October 15, the A-share trading volume has exceeded 2 trillion yuan for 40 consecutive trading days. Many institutions perceive that the A-share market has entered a bull market phase, with Huaxin Securities noting that the market is in the mid-stage of a bull run.
The proportion of discounted stocks serves as a crucial indicator of market sentiment. Historically, the emergence of a bull market is often accompanied by the complete elimination of discounted stocks. According to statistics from Securities Times Data Treasure, as of the close on October 15, there are 287 discounted stocks in the A-share market, making up 5.28% of the total.
This article bases its analysis on discounted stocks and filters them down to those that are high-performing and undervalued, based on the following criteria: 1. Positive net profit for 2023 with year-on-year growth from 2023 to 2024; 2. Positive net profit for the first half of 2025 with year-on-year growth; 3. As of the close on October 15, rolling PE ratio below 30.
Statistics show that 46 stocks made the cut, with the banking sector having the highest representation at 28 stocks, accounting for over 60%. This was followed by transportation, public utilities, and construction decoration industries with 6, 3, and 3 stocks respectively.
**Agricultural Bank Leads Year-to-Date Gains** In terms of secondary market performance, as of October 15, the average increase for the aforementioned high-performing undervalued stocks has been 8.72% year-to-date, lagging behind the Shanghai Composite Index by 8 percentage points. Agricultural Bank, Qingdao Bank, Yunnan Rural Commercial Bank, New Huangpu, and Tongkun Co., Ltd. rank as the top five in cumulative growth. Agricultural Bank's share price has risen 42.26% this year, placing it at the forefront. On August 6 this year, it surpassed Industrial and Commercial Bank of China to become the market leader in A-share value, with a recent market cap of 2.32 trillion yuan, increasing its lead over second place.
Seven stocks have seen declines this year, including Jiuzhou Tong, Guangshen Railway, Longjiang Transportation, Bank of Beijing, Sinopec, Bank of Communications, and Gan-Yue Expressway. Gan-Yue Expressway has faced the largest decline at 9.04%, despite reporting a net profit of 764 million yuan in the first half of this year, a year-on-year growth of 21.8%.
**7 Stocks Yielding Over 5%** The surveyed 46 high-performing undervalued stocks generally exhibit high dividend characteristics. According to statistics, as of October 15, 33 stocks have a dividend yield (over the past 12 months) exceeding 3%, representing over 70% of the total. Among these, 7 stocks boast yields over 5%, which include Zhangjiagang Bank, Changsha Bank, Bank of Beijing, Changshu Bank, Tiandi Technology, Shanghai Bank, and Hu Nong Bank.
Zhangjiagang Bank leads with a dividend yield of 6.9%. The company, one of the first rural commercial banks to go public, reported total assets of 223.785 billion yuan as of June 30, 2025. In the first half of this year, its net profit was 995 million yuan, a year-on-year increase of 5.11%. During this period, the company ranked among the top in loan and deposit growth within Jiangsu Province's 60 rural commercial banks.
According to research by Everbright Securities, Zhangjiagang Bank continues to focus on deepening its local engagements and servicing the regional market. The company emphasizes micro-loan operations while proactively expanding its market presence in Suzhou, Wuxi, and Nantong, enhancing its loan and deposit market share. It finds new opportunities within the micro sector, supporting steady credit expansion and favorable asset pricing. The company maintains solid asset quality, with ample provisions, and has strong capital reserves for future operational support.
From the trading perspective, among these 33 high-dividend stocks, 19 have seen a more than 10% increase in average daily trading volume since October, including Chongqing Bank, Shanghai Bank, Gan-Yue Expressway, Jiangsu Bank, and Bank of Beijing, the latter group exceeding a 50% increase in average daily volume.
Chongqing Bank saw an average daily trading volume of 270 million yuan, marking a gain of 138.01%, the highest. The company has received “positive” ratings from 12 institutions (including buy, hold, and strong buy). Pacific Securities comments that Chongqing Bank benefits from major regional strategies, with its corporate business driving steady growth, while effective cost management supports its margin performance, alongside continuous improvement in asset quality metrics.
Comprehensive insights and precise interpretations are all available on the Sina Finance APP.