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As global markets show signs of resilience, with U.S. indexes approaching record highs and a notable drop in initial jobless claims, investors are increasingly optimistic despite ongoing geopolitical uncertainties. In this environment of broad-based gains and positive economic indicators, identifying stocks that are potentially undervalued can be a strategic move for those looking to capitalize on market inefficiencies.
Top 10 Undervalued Stocks Based On Cash Flows
| Name | Current Price | Fair Value (Est) | Discount (Est) |
| NBT Bancorp (NasdaqGS:NBTB) | US$50.08 | US$99.93 | 49.9% |
| Truecaller (OM:TRUE B) | SEK47.98 | SEK95.84 | 49.9% |
| Nordic Waterproofing Holding (OM:NWG) | SEK172.40 | SEK344.25 | 49.9% |
| CS Wind (KOSE:A112610) | ₩42350.00 | ₩83358.96 | 49.2% |
| Kitron (OB:KIT) | NOK31.18 | NOK62.32 | 50% |
| PLAIDInc (TSE:4165) | ¥1341.00 | ¥3201.44 | 58.1% |
| Intermedical Care and Lab Hospital (SET:IMH) | THB4.94 | THB9.86 | 49.9% |
| Neosperience (BIT:NSP) | €0.57 | €1.14 | 50% |
| BATM Advanced Communications (LSE:BVC) | £0.188 | £0.38 | 50% |
| SBI Sumishin Net Bank (TSE:7163) | ¥3405.00 | ¥5793.91 | 41.2% |
Below we spotlight a couple of our favorites from our exclusive screener.
TORIDOLL Holdings
Overview: TORIDOLL Holdings Corporation operates and manages restaurants both in Japan and internationally, with a market cap of ¥306.79 billion.
Operations: The company's revenue segments include Marugame Seimen with ¥121.61 billion, Overseas Business generating ¥99.74 billion, and Other Domestic contributing ¥31.72 billion.
Estimated Discount To Fair Value: 34.3%
TORIDOLL Holdings is trading 34.3% below its estimated fair value of ¥5480.51, with earnings expected to grow significantly at 43.5% annually, surpassing the JP market's growth rate. Despite recent guidance revisions lowering profit expectations due to overseas segment underperformance, domestic operations like Marugame Seimen have shown record interim results in sales and profit margins. The company remains undervalued based on discounted cash flow analysis despite these challenges and lowered forecasts for fiscal year ending March 2025.
SBI Sumishin Net Bank
Overview: SBI Sumishin Net Bank, Ltd. offers a range of banking products and services to individual and corporate clients in Japan, with a market cap of ¥438.03 billion.
Operations: The company generates revenue primarily from its Digital Bank Business, which accounts for ¥69.21 billion, and THEMIX Business, contributing ¥266 million.