Stocks recently deemed undervalued include Perennial Real Estate Holdings and Global Palm Resources Holdings, as they trade at a market price below their true valuations. There’s a few ways you can measure the value of a company – you can forecast how much money it will make in the future and base your valuation off of this, or you can look around at its peers of similar size and industry to roughly estimate what it should be worth. Below, I’ve created a list of companies that compare favourably in all criteria based on their most recent financial data, making them potentially good investments.

Perennial Real Estate Holdings Limited (SGX:40S)

Perennial Real Estate Holdings Limited, an investment holding company, invests in, owns, develops, and manages real estate properties in China, Singapore, Malaysia, and Ghana. The company provides employment to 260 people and with the market cap of SGD SGD1.40B, it falls under the small-cap group.

40S’s stock is currently hovering at around -93% below its true value of $12.41, at the market price of $0.84, based on its expected future cash flows. The divergence signals an opportunity to buy 40S shares at a low price.

40S is also in good financial health, as near-term assets sufficiently cover liabilities in the near future as well as in the long run.

More on Perennial Real Estate Holdings here.

Global Palm Resources Holdings Limited (SGX:BLW)

Global Palm Resources Holdings Limited, an investment holding company, operates as an oil palm producer in Indonesia. Global Palm Resources Holdings was established in 1991 and with the company’s market cap sitting at SGD SGD62.87M, it falls under the small-cap group.

BLW’s shares are now trading at -53% below its real value of IDR0.68, at a price of IDR0.32, according to my discounted cash flow model. The difference between value and price signals a potential opportunity to buy BLW shares at a discount. In terms of relative valuation, BLW’s PE ratio is currently around 11.1x while its index peer level trades at 13.9x, suggesting that relative to its competitors, we can purchase BLW’s shares for cheaper. BLW is also in good financial health, as short-term assets amply cover upcoming and long-term liabilities. BLW also has a miniscule amount of debt on its balance sheet, which gives it headroom to grow and financial flexibility. Dig deeper into Global Palm Resources Holdings here.

Oxley Holdings Limited (SGX:5UX)

Oxley Holdings Limited, an investment holding company, engages in property investment and development, and project management activities in Singapore, the United Kingdom, Ireland, Cambodia, Malaysia, Indonesia, China, Japan, Myanmar, Australia, and Cyprus. Oxley Holdings was founded in 2010 and with the stock’s market cap sitting at SGD SGD2.06B, it comes under the mid-cap category.