In This Article:
The United States market has experienced a notable upswing, rising 5.3% over the last week and 12% over the past year, with earnings projected to grow by 14% annually. In this environment, identifying stocks that are potentially undervalued can be an effective strategy for investors seeking opportunities that may offer growth potential relative to their intrinsic value.
Top 10 Undervalued Stocks Based On Cash Flows In The United States
Name | Current Price | Fair Value (Est) | Discount (Est) |
Provident Financial Services (NYSE:PFS) | $17.98 | $35.55 | 49.4% |
Berkshire Hills Bancorp (NYSE:BHLB) | $26.78 | $52.65 | 49.1% |
Valley National Bancorp (NasdaqGS:VLY) | $9.20 | $18.28 | 49.7% |
Horizon Bancorp (NasdaqGS:HBNC) | $15.80 | $30.73 | 48.6% |
First Reliance Bancshares (OTCPK:FSRL) | $9.30 | $18.49 | 49.7% |
Bel Fuse (NasdaqGS:BELF.A) | $72.65 | $142.88 | 49.2% |
Shoals Technologies Group (NasdaqGM:SHLS) | $6.03 | $11.81 | 48.9% |
FinWise Bancorp (NasdaqGM:FINW) | $15.05 | $29.22 | 48.5% |
Clearfield (NasdaqGM:CLFD) | $37.73 | $74.78 | 49.5% |
MAC Copper (NYSE:MTAL) | $10.06 | $20.00 | 49.7% |
We'll examine a selection from our screener results.
Autodesk
Overview: Autodesk, Inc. offers 3D design, engineering, and entertainment technology solutions globally and has a market cap of approximately $62.73 billion.
Operations: The company generates revenue primarily from its CAD/CAM software segment, amounting to $6.13 billion.
Estimated Discount To Fair Value: 11.7%
Autodesk is trading at US$297.01, approximately 11.7% below its estimated fair value of US$336.47, indicating potential undervaluation based on cash flows. The company's revenue and earnings are forecast to grow faster than the U.S. market at 9.7% and 14.3% per year, respectively. Recent strategic moves include a new US$1.5 billion credit agreement for flexibility in working capital and corporate purposes, enhancing its financial position to support growth initiatives and operational efficiency improvements through integrations with Autodesk Construction Cloud®.
DoorDash
Overview: DoorDash, Inc. operates a commerce platform that links merchants, consumers, and independent contractors both in the United States and internationally, with a market cap of approximately $81.40 billion.
Operations: The company's revenue is primarily generated from its Internet Information Providers segment, amounting to $11.24 billion.