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3 US Stocks That Might Be Trading Below Their Estimated Value

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As the U.S. stock market navigates a period of volatility, with recent declines following the Federal Reserve's decision to maintain interest rates amid persistent inflation and awaiting major tech earnings, investors are keenly observing opportunities that may arise from these fluctuations. In this environment, identifying stocks that might be trading below their estimated value requires careful consideration of factors such as financial health, growth potential, and market position relative to current economic conditions.

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

Name

Current Price

Fair Value (Est)

Discount (Est)

Berkshire Hills Bancorp (NYSE:BHLB)

$28.57

$56.67

49.6%

First National (NasdaqCM:FXNC)

$24.98

$48.64

48.6%

Array Technologies (NasdaqGM:ARRY)

$7.15

$14.24

49.8%

Advanced Energy Industries (NasdaqGS:AEIS)

$112.64

$219.14

48.6%

Privia Health Group (NasdaqGS:PRVA)

$22.51

$44.59

49.5%

Bilibili (NasdaqGS:BILI)

$16.78

$33.06

49.2%

Verra Mobility (NasdaqCM:VRRM)

$26.39

$51.91

49.2%

BeiGene (NasdaqGS:ONC)

$226.71

$438.50

48.3%

Equifax (NYSE:EFX)

$271.18

$532.03

49%

Similarweb (NYSE:SMWB)

$16.51

$31.96

48.3%

Click here to see the full list of 166 stocks from our Undervalued US Stocks Based On Cash Flows screener.

Here we highlight a subset of our preferred stocks from the screener.

Array Technologies

Overview: Array Technologies, Inc. manufactures and sells ground-mounting tracking systems for solar energy projects globally, with a market cap of approximately $1.01 billion.

Operations: The company's revenue is divided into two segments: STI Operations, generating $244.88 million, and Array Legacy Operations, contributing $737.31 million.

Estimated Discount To Fair Value: 49.8%

Array Technologies, Inc. is trading at a significant discount to its estimated fair value, with shares priced at US$7.15 compared to an estimated fair value of US$14.24. Despite recent financial challenges, including a net loss of US$141.35 million in Q3 2024 and lowered revenue guidance due to market softness, the company is expected to achieve profitability within three years and has strong forecasted earnings growth of 65.06% annually.

NasdaqGM:ARRY Discounted Cash Flow as at Jan 2025
NasdaqGM:ARRY Discounted Cash Flow as at Jan 2025

Alkami Technology

Overview: Alkami Technology, Inc. provides cloud-based digital banking solutions in the United States and has a market cap of approximately $3.61 billion.

Operations: Alkami Technology, Inc. generates revenue of $315.56 million from its Internet Software & Services segment.