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3 US Stocks That May Be Trading Below Estimated Value

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As U.S. markets rise, with the Nasdaq leading gains as investors look past tariff threats, there is a renewed interest in identifying stocks that may be trading below their estimated value. In this environment, a good stock often exhibits strong fundamentals and resilience to external pressures, making it potentially undervalued despite broader market fluctuations.

Top 10 Undervalued Stocks Based On Cash Flows In The United States

Name

Current Price

Fair Value (Est)

Discount (Est)

CareTrust REIT (NYSE:CTRE)

$26.11

$50.40

48.2%

German American Bancorp (NasdaqGS:GABC)

$39.94

$77.95

48.8%

Brookline Bancorp (NasdaqGS:BRKL)

$12.37

$24.11

48.7%

First National (NasdaqCM:FXNC)

$26.33

$50.60

48%

AGNC Investment (NasdaqGS:AGNC)

$10.14

$19.39

47.7%

Midland States Bancorp (NasdaqGS:MSBI)

$19.60

$37.82

48.2%

Advanced Energy Industries (NasdaqGS:AEIS)

$112.83

$217.38

48.1%

Coastal Financial (NasdaqGS:CCB)

$86.45

$172.68

49.9%

Sociedad Química y Minera de Chile (NYSE:SQM)

$38.37

$73.27

47.6%

Nutanix (NasdaqGS:NTNX)

$71.75

$141.36

49.2%

Click here to see the full list of 167 stocks from our Undervalued US Stocks Based On Cash Flows screener.

We're going to check out a few of the best picks from our screener tool.

AeroVironment

Overview: AeroVironment, Inc. specializes in designing, developing, producing, delivering, and supporting robotic systems and related services for government agencies and businesses globally, with a market cap of approximately $4.95 billion.

Operations: The company's revenue segments include Maccready Works at $77.97 million, UnCrewed Systems at $422.42 million, and Loitering Munitions Systems at $261.11 million.

Estimated Discount To Fair Value: 18.7%

AeroVironment appears undervalued based on cash flows, trading at US$182.15, below its estimated fair value of US$223.96. Recent contracts with the U.S. Army, including a $288 million order for Switchblade systems, bolster future cash flow prospects amidst expected earnings growth of 39.3% annually over the next three years—outpacing the broader market's 14.5%. Despite reduced net income recently, revenue forecasts remain strong at 12.7% annual growth.

NasdaqGS:AVAV Discounted Cash Flow as at Feb 2025
NasdaqGS:AVAV Discounted Cash Flow as at Feb 2025

Nutanix

Overview: Nutanix, Inc. offers an enterprise cloud platform across various regions including North America, Europe, and the Asia Pacific, with a market cap of approximately $18.90 billion.

Operations: The company's revenue segment is primarily derived from Internet Software & Services, generating approximately $2.23 billion.