In this article, we will discuss the 5 cheap Chinese stocks to buy now. If you want to read our detailed analysis of these companies, go directly to the 10 Cheap Chinese Stocks to Buy Now.
5. MINISO Group Holding Limited (NYSE: MNSO)
Number of Hedge Fund Holders: 12
Share Price as of July 14th, 2021: $18.51
MINISO Group Holding Limited (NYSE: MNSO) ranks 5th on the list of 10 cheap Chinese stocks to buy now. The Guangzhou-based lifestyle retail and wholesale company was founded in 2013 and went public in the United States in December 2020, raising $608 million. As of May 2021, MINISO Group Holding Limited (NYSE: MNSO) has 4,587 retail stores worldwide.
The company has a market cap of $5.5 billion. On January 19th, CICC initiated an Outperform rating on MINISO Group Holding Limited (NYSE: MNSO), with a price target of $34.15 per share. The company’s revenue grew 37% to $344 million (2.2 billion RMB), up from $252 million (1.63 billion RMB) in the same period in 2020. In the first quarter of 2021, MINISO Group Holding Limited (NYSE: MNSO) had an EPS of $0.08, beating estimates by $0.02.
At the end of the first quarter of 2021, 12 hedge funds in the database of Insider Monkey held stakes worth $87.6 million in MINISO Group Holding Limited (NYSE: MNSO), down from 18 the preceding quarter worth $210 million.
4. HUYA Inc. (NYSE: HUYA)
Number of Hedge Fund Holders: 13
Share Price as of July 14th, 2021: $15.68
HUYA Inc. (NYSE: HUYA) ranks 5th in our list of the 10 cheap Chinese stocks to buy now. Guangzhou-based HUYA Inc. (NYSE: HUYA) is the largest game live streaming platform in China, with 75.5 million monthly active users. Other forms of entertainment, like anime, talent shows, and online theater, can also be broadcast across Asia, Latin America, and the Middle East via the Chinese live stream platform.
The company has a market cap of $3.6 billion. On April 23rd, 86 Research upgraded HUYA Inc. (NYSE: HUYA) to a Buy, with a price target of $22 per share. The company’s revenue was $397.6 million, up 8% year over year from $370 million, and it has a gross profit margin of 6.2%, up from 5.5% in the last year. In the May quarter, the company recorded earnings per share of $0.17, beating market predictions by $0.04. HUYA Inc. (NYSE: HUYA) stock has a forward PE ratio of 32.89.
At the end of the first quarter of 2021, 13 hedge funds in the database of Insider Monkey held stakes worth $336 million in HUYA Inc. (NYSE: HUYA), up from 12 the preceding quarter worth $342 million. Out of the hedge funds being tracked by Insider Monkey, New York-based investment firm ARK Investment Management is a leading shareholder in HUYA Inc. (NYSE: HUYA) with 10.9 million shares worth more than $214 million.
3. Momo Inc. (NASDAQ: MOMO)
Number of Hedge Fund Holders: 25
Share Price as of July 14th: $13.60
Momo Inc. (NASDAQ: MOMO) ranks 3rd on the list of 10 cheap Chinese stocks to buy now. The Beijing-based social media platform is making a storm in the Chinese market by providing a short-video and live-video platform for 115.3 million monthly active users (MAUs). Momo Inc. (NASDAQ: MOMO) also operates Tantan, a dating app with over 3.5 million paying MAUs. The Chinese internet company was founded in 2011 and was formerly known as Momo Technology Company Limited.
The company has a market cap of $2.8 billion. On March 26th, Momo Inc. (NASDAQ: MOMO) was raised by Citigroup analyst Hillman Chan from Neutral to Buy, with a price target of $19.30, up from the previous $16.10. The company’s first-quarter revenue came in at $529.7 million. In the first quarter of 2021, Momo Inc. (NASDAQ: MOMO) had an EPS of $0.45, beating estimates by $0.09.
At the end of the first quarter of 2021, 25 hedge funds in the database of Insider Monkey held stakes worth $342.4 million in Momo Inc. (NASDAQ: MOMO), up from 24 the preceding quarter worth $342.2 million.
2. 21Vianet Group, Inc. (NASDAQ: VNET)
Number of Hedge Fund Holders: 30
Share Price as of July 14th, 2021: $19.45
21Vianet Group, Inc. (NASDAQ: VNET) ranks 2nd on the list of 10 cheap Chinese stocks to buy now. Beijing-based 21Vianet Group, Inc. provides hosting services, VPN, and hybrid IT services to small and medium enterprises and the government in China. In 2014, Microsoft Corporation (NASDAQ: MSFT) expanded its cloud services and office applications in China via 21Vianet Group, Inc. (NASDAQ: VNET).
The company has a market cap of $2.84 billion. In the first quarter of 2021, 21Vianet Group, Inc. (NASDAQ: VNET) had an EPS of -$0.12, versus consensus earnings estimates of -$0.7. Currently, there are 10 analysts that rated 21Vianet Group, Inc. (NASDAQ: VNET) a Buy, with an average price target of $247.82.
At the end of the first quarter of 2021, 30 hedge funds in the database of Insider Monkey held stakes worth $581 million in 21Vianet Group, Inc. (NASDAQ: VNET), down from 33 the preceding quarter worth $731 million.
1. iQIYI, Inc. (NASDAQ: IQ)
Number of Hedge Fund Holders: 40
Share Price as of July 14th, 2021: $12.55
Topping the list of the 10 cheap Chinese stocks to buy now is iQIYI, Inc. (NASDAQ: IQ). The Beijing-based internet company offers various entertainment products and services like social media and e-commerce platforms, online games, animation, and live broadcasting. The company was founded in 2009 and was formerly known as Qiyi.com, Inc.
The company has a market cap of $10.4 billion. On May 19th, CLSA upgraded iQIYI, Inc. (NASDAQ: IQ) to an Outperform rating, with a price target of $16 per share. Meanwhile, iQIYI, Inc. (NASDAQ: IQ) was upgraded from Mixed to Positive by OTR Global on July 7th. The company’s first-quarter revenue grew 4% to $1.2 billion year over year. The internet company anticipates total net revenues of $1.10 billion to $1.17 billion for the second quarter. In the first quarter of 2021, iQIYI, Inc. (NASDAQ: IQ) had an EPS of -0.25, beating estimates by $0.11.
Out of the hedge funds being tracked by Insider Monkey, Beijing-based investment firm Hillhouse Capital Management is a leading shareholder in iQIYI, Inc. (NASDAQ: IQ), with more than 38 million shares worth more than $642 million. At the end of the first quarter of 2021, 40 hedge funds in the database of Insider Monkey held stakes worth $1.36 billion in iQIYI, Inc. (NASDAQ: IQ), up from 30 the preceding quarter worth $1.05 billion.
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