In This Article:
Over the last 7 days, the United States market has experienced a 1.1% decline, yet it remains up by 5.9% over the past year with earnings anticipated to grow by 13% annually in the coming years. In this context, identifying stocks that may be trading below their estimated value can offer potential opportunities for investors looking to capitalize on future growth prospects amidst current market fluctuations.
Top 10 Undervalued Stocks Based On Cash Flows In The United States
| Name | Current Price | Fair Value (Est) | Discount (Est) |
| NBT Bancorp (NasdaqGS:NBTB) | $39.76 | $78.07 | 49.1% |
| TowneBank (NasdaqGS:TOWN) | $31.80 | $62.34 | 49% |
| First National (NasdaqCM:FXNC) | $18.60 | $36.91 | 49.6% |
| First Bancorp (NasdaqGS:FBNC) | $37.12 | $72.67 | 48.9% |
| Ready Capital (NYSE:RC) | $4.39 | $8.65 | 49.2% |
| Datadog (NasdaqGS:DDOG) | $91.18 | $178.40 | 48.9% |
| Curbline Properties (NYSE:CURB) | $23.18 | $45.98 | 49.6% |
| Viking Holdings (NYSE:VIK) | $39.80 | $77.28 | 48.5% |
| RXO (NYSE:RXO) | $13.24 | $26.48 | 50% |
| CNX Resources (NYSE:CNX) | $30.82 | $60.53 | 49.1% |
Let's explore several standout options from the results in the screener.
Grab Holdings
Overview: Grab Holdings Limited operates as a superapp provider in Southeast Asia, offering services across Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam with a market cap of approximately $16.73 billion.
Operations: Grab's revenue is primarily derived from three segments: Mobility ($1.05 billion), Deliveries ($1.49 billion), and Financial Services ($253 million).
Estimated Discount To Fair Value: 19.1%
Grab Holdings is currently trading at US$4.11, which is 19.1% below its estimated fair value of US$5.08, indicating it may be undervalued based on cash flows. The company reported a significant reduction in net loss from US$434 million to US$105 million year-over-year, with revenue growth expected to outpace the broader U.S. market at 13.8% annually. Recent inclusion in the NASDAQ Internet Index and ongoing M&A discussions could impact future valuations and cash flow dynamics.
Hess Midstream
Overview: Hess Midstream LP owns, operates, develops, and acquires midstream assets to provide fee-based services to Hess and third-party customers in the United States, with a market cap of $8.66 billion.
Operations: The company's revenue segments include Gathering at $799.10 million, Processing and Storage at $577.70 million, and Terminaling and Export at $118.70 million.