3 Stocks That May Be Trading Below Estimated Value In January 2025

In This Article:

As global markets navigate the final days of 2024, major stock indices have shown moderate gains despite a dip in U.S. consumer confidence and mixed economic signals from key regions like Europe and Japan. In this environment, investors often seek stocks that appear to be trading below their estimated value, as these can offer potential opportunities for growth when market conditions stabilize or improve.

Top 10 Undervalued Stocks Based On Cash Flows

Name

Current Price

Fair Value (Est)

Discount (Est)

Globetronics Technology Bhd (KLSE:GTRONIC)

MYR0.585

MYR1.17

49.8%

First Solar (NasdaqGS:FSLR)

US$176.24

US$350.71

49.7%

Strike CompanyLimited (TSE:6196)

¥3655.00

¥7309.53

50%

S Foods (TSE:2292)

¥2737.00

¥5472.35

50%

Cettire (ASX:CTT)

A$1.51

A$3.02

50%

Charter Hall Group (ASX:CHC)

A$14.35

A$28.66

49.9%

Medley (TSE:4480)

¥3835.00

¥7652.96

49.9%

Ally Financial (NYSE:ALLY)

US$36.01

US$71.71

49.8%

Progress Software (NasdaqGS:PRGS)

US$65.15

US$129.60

49.7%

SkyCity Entertainment Group (NZSE:SKC)

NZ$1.45

NZ$2.89

49.8%

Click here to see the full list of 870 stocks from our Undervalued Stocks Based On Cash Flows screener.

We'll examine a selection from our screener results.

PostNL

Overview: PostNL N.V. is a company that offers postal and logistics services to businesses and consumers in the Netherlands, Europe, and internationally, with a market cap of €523.20 million.

Operations: PostNL generates its revenue from postal and logistics services provided to businesses and consumers across the Netherlands, Europe, and international markets.

Estimated Discount To Fair Value: 48%

PostNL is trading at €1.04, significantly below its estimated fair value of €2.01, suggesting it may be undervalued based on cash flows despite recent challenges. The company has become profitable this year and forecasts suggest earnings growth of 58.08% annually, outpacing the Dutch market's 15.7%. However, PostNL faces high debt levels and unsustainable dividends, with a third-quarter net loss of €21 million compared to last year's €10 million loss.

ENXTAM:PNL Discounted Cash Flow as at Jan 2025
ENXTAM:PNL Discounted Cash Flow as at Jan 2025

Beijing Huafeng Test & Control TechnologyLtd

Overview: Beijing Huafeng Test & Control Technology Co., Ltd. operates in the field of test and control technology, with a market cap of CN¥14.14 billion.

Operations: The company's revenue primarily comes from the manufacturing of special equipment for semiconductor devices, amounting to CN¥793.33 million.