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As the U.S. stock market grapples with volatility driven by new tariff announcements and economic uncertainties, major indices like the Dow Jones and S&P 500 have seen significant declines, erasing recent gains. In this environment of fluctuating investor sentiment, identifying undervalued stocks can present opportunities for those seeking to navigate these turbulent times effectively.
Top 10 Undervalued Stocks Based On Cash Flows In The United States
Name | Current Price | Fair Value (Est) | Discount (Est) |
Valley National Bancorp (NasdaqGS:VLY) | $8.67 | $17.24 | 49.7% |
Semrush Holdings (NYSE:SEMR) | $9.70 | $19.07 | 49.1% |
German American Bancorp (NasdaqGS:GABC) | $38.08 | $75.38 | 49.5% |
International Paper (NYSE:IP) | $49.90 | $98.54 | 49.4% |
KBR (NYSE:KBR) | $51.16 | $101.61 | 49.7% |
Cadre Holdings (NYSE:CDRE) | $33.85 | $67.34 | 49.7% |
Array Technologies (NasdaqGM:ARRY) | $6.38 | $12.63 | 49.5% |
Albemarle (NYSE:ALB) | $76.39 | $150.99 | 49.4% |
Workiva (NYSE:WK) | $85.11 | $168.68 | 49.5% |
TransMedics Group (NasdaqGM:TMDX) | $66.03 | $130.15 | 49.3% |
Let's review some notable picks from our screened stocks.
Blackbaud
Overview: Blackbaud, Inc. provides cloud software and services both in the United States and internationally, with a market cap of approximately $3.18 billion.
Operations: The company's revenue is primarily derived from its Software & Programming segment, which generated $1.16 billion.
Estimated Discount To Fair Value: 23.7%
Blackbaud appears undervalued based on discounted cash flow analysis, trading at US$66.58, which is more than 20% below its estimated fair value of US$87.25. Despite a high level of debt and recent net losses of US$286.95 million for 2024, the company is expected to achieve profitability within three years with earnings forecasted to grow significantly annually. Recent initiatives like enabling cryptocurrency donations could enhance revenue streams and bolster future cash flows.
Cadre Holdings
Overview: Cadre Holdings, Inc. manufactures and distributes safety equipment for protection in hazardous situations both in the United States and internationally, with a market cap of approximately $1.38 billion.
Operations: Cadre Holdings generates revenue through its Product segment, contributing $449.48 million, and its Distribution segment, adding $99.39 million.
Estimated Discount To Fair Value: 49.7%