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As the global investment landscape adjusts to new trading technologies and their impacts, the Singapore market remains a focal point for those looking for value. With ongoing discussions about how gamification in trading platforms may influence investor behavior, identifying undervalued stocks becomes increasingly pertinent under current market conditions.
Top 5 Undervalued Stocks Based On Cash Flows In Singapore
| Name | Current Price | Fair Value (Est) | Discount (Est) |
| Singapore Technologies Engineering (SGX:S63) | SGD4.04 | SGD7.81 | 48.3% |
| Hongkong Land Holdings (SGX:H78) | US$3.26 | US$5.65 | 42.3% |
| Frasers Logistics & Commercial Trust (SGX:BUOU) | SGD0.96 | SGD1.63 | 41% |
| Seatrium (SGX:5E2) | SGD1.52 | SGD2.38 | 36.2% |
| Digital Core REIT (SGX:DCRU) | US$0.595 | US$1.11 | 46.3% |
| Nanofilm Technologies International (SGX:MZH) | SGD0.725 | SGD1.34 | 45.8% |
Here we highlight a subset of our preferred stocks from the screener
Digital Core REIT
Overview: Digital Core REIT (SGX: DCRU) operates as a Singapore-listed real estate investment trust specializing in data centers, backed by Digital Realty, and has a market capitalization of approximately $0.77 billion.
Operations: The REIT's revenue from commercial operations totals $71.10 million.
Estimated Discount To Fair Value: 46.3%
Digital Core REIT is perceived as undervalued based on cash flows, trading at a significant discount to its estimated fair value. Analysts expect an annual profit growth that outpaces the market, with revenue growth projections also above the Singapore market average. However, concerns include a low forecasted return on equity and an unstable dividend track record. Recent actions like share buybacks indicate management's confidence in improving shareholder value despite past earnings volatility and slight declines in quarterly sales figures.
Hongkong Land Holdings
Overview: Hongkong Land Holdings Limited operates in the investment, development, and management of properties across Hong Kong, Macau, Mainland China, Southeast Asia, and other international locations with a market cap of approximately $7.19 billion.
Operations: The company generates revenue through two primary segments: Investment Properties, which brought in $1.08 billion, and Development Properties, contributing $0.76 billion.
Estimated Discount To Fair Value: 42.3%