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As global markets navigate a period of mixed performance, with the Nasdaq reaching new heights while other major indexes face declines, investors are keenly observing the economic indicators such as inflation rates and central bank policies. Amidst this complex environment, identifying undervalued stocks becomes increasingly appealing for those looking to capitalize on potential discrepancies between market prices and intrinsic values. A good stock in this context is one that demonstrates strong fundamentals yet trades below its estimated worth, offering potential value opportunities in an uncertain market landscape.
Top 10 Undervalued Stocks Based On Cash Flows
Name | Current Price | Fair Value (Est) | Discount (Est) |
Strike CompanyLimited (TSE:6196) | ¥3645.00 | ¥7281.65 | 49.9% |
Sudarshan Chemical Industries (BSE:506655) | ₹1129.35 | ₹2250.95 | 49.8% |
Wuhan Keqian BiologyLtd (SHSE:688526) | CN¥14.62 | CN¥29.09 | 49.7% |
Lindab International (OM:LIAB) | SEK225.40 | SEK450.75 | 50% |
Decisive Dividend (TSXV:DE) | CA$5.93 | CA$11.84 | 49.9% |
GlobalData (AIM:DATA) | £1.875 | £3.75 | 50% |
Western Alliance Bancorporation (NYSE:WAL) | US$82.86 | US$165.30 | 49.9% |
HealthEquity (NasdaqGS:HQY) | US$94.76 | US$189.22 | 49.9% |
Charter Hall Group (ASX:CHC) | A$14.37 | A$28.58 | 49.7% |
Hanall Biopharma (KOSE:A009420) | ₩32650.00 | ₩65043.15 | 49.8% |
Let's uncover some gems from our specialized screener.
Ercros
Overview: Ercros, S.A. is a Spanish company that manufactures and sells basic chemicals, intermediate chemicals, and pharmaceuticals, with a market cap of €324.60 million.
Operations: The company generates revenue from three main segments: Pharmaceuticals (€63.57 million), Chlorine Derivatives (€375.76 million), and Intermediate Chemicals (€193.57 million).
Estimated Discount To Fair Value: 14.4%
Ercros, S.A. is trading at €3.55, below its estimated fair value of €4.15, indicating it may be undervalued based on cash flows. Despite a net loss of €7.8 million for the first nine months of 2024 and a decline in revenue to €533.61 million, earnings are forecast to grow significantly at 48.52% annually over the next three years, outpacing the Spanish market's growth rate. However, return on equity remains low and dividends are unstable.
izertis
Overview: Izertis, S.A. offers technological consultancy services both in Spain and internationally, with a market cap of €263.63 million.