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Estimated Discount To Fair Value: 22%

STMicroelectronics is trading at €20.42, more than 20% below its estimated fair value of €26.18, suggesting it is undervalued based on cash flows. Despite recent share price volatility and a decrease in profit margins from last year, earnings are forecast to grow significantly at 22.75% annually, outpacing the French market's expected growth rate of 12.1%. The company recently completed a $165 million share buyback and announced innovative automotive microcontrollers aimed at simplifying vehicle electrical architectures.

• The growth report we've compiled suggests that STMicroelectronics' future prospects could be on the up.

• Click to explore a detailed breakdown of our findings in STMicroelectronics' balance sheet health report.

Dynavox Group

Overview: Dynavox Group AB (publ) develops and sells assistive technology products for individuals with impaired communication skills, with a market capitalization of SEK8.07 billion.

Operations: Revenue Segments (in millions of SEK): The company generates revenue from the development and sale of assistive technology products designed for individuals with communication impairments.

Estimated Discount To Fair Value: 14.3%

Dynavox Group, trading at SEK 77, is undervalued relative to its fair value estimate of SEK 89.89 based on cash flows. Despite high debt levels and recent share price volatility, the company has shown robust earnings growth of 46.9% over the past year and forecasts a significant annual profit increase of 29.7%, outpacing the Swedish market's expected growth rate. Recent earnings reports highlight consistent sales and net income improvements, supporting its strategic expansion efforts through acquisitions.

• According our earnings growth report, there's an indication that Dynavox Group might be ready to expand.

• Click here to discover the nuances of Dynavox Group with our detailed financial health report.

Turning Ideas Into Actions

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include BME:HBX ENXTPA:STMPA and OM:DYVOX.

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