In This Article:
As we close out 2024, global markets have exhibited mixed signals with moderate gains in major stock indexes despite declining consumer confidence and manufacturing data. Amid these fluctuations, investors are increasingly on the lookout for stocks that may be undervalued relative to their intrinsic worth, presenting potential opportunities for those who can identify companies with strong fundamentals not yet fully reflected in their current market prices.
Top 10 Undervalued Stocks Based On Cash Flows
Name | Current Price | Fair Value (Est) | Discount (Est) |
Globetronics Technology Bhd (KLSE:GTRONIC) | MYR0.585 | MYR1.17 | 49.9% |
Decisive Dividend (TSXV:DE) | CA$5.93 | CA$11.83 | 49.9% |
S Foods (TSE:2292) | ¥2737.00 | ¥5472.35 | 50% |
Emporiki Eisagogiki Aftokiniton Ditrohon kai Mihanon Thalassis Societe Anonyme (ATSE:MOTO) | €2.77 | €5.51 | 49.7% |
Cettire (ASX:CTT) | A$1.51 | A$3.02 | 50% |
Charter Hall Group (ASX:CHC) | A$14.35 | A$28.66 | 49.9% |
Medley (TSE:4480) | ¥3835.00 | ¥7645.06 | 49.8% |
Ally Financial (NYSE:ALLY) | US$36.01 | US$71.77 | 49.8% |
Progress Software (NasdaqGS:PRGS) | US$65.15 | US$129.87 | 49.8% |
SkyCity Entertainment Group (NZSE:SKC) | NZ$1.45 | NZ$2.89 | 49.8% |
Let's uncover some gems from our specialized screener.
UPM-Kymmene Oyj
Overview: UPM-Kymmene Oyj, along with its subsidiaries, operates in the forest-based bioindustry across Europe, North America, Asia, and internationally with a market cap of €14.17 billion.
Operations: The company's revenue segments include UPM Energy (€658 million), UPM Fibres (€3.51 billion), UPM Plywood (€412 million), UPM Raflatac (€1.55 billion), UPM Specialty Papers (€1.47 billion), and UPM Communication Papers (€3.06 billion).
Estimated Discount To Fair Value: 27.9%
UPM-Kymmene Oyj appears undervalued based on cash flow analysis, trading at €26.56, significantly below its estimated fair value of €36.86. Despite recent earnings volatility with large one-off items impacting results, UPM's earnings are expected to grow significantly over the next three years at 22.62% annually, outpacing the Finnish market. Strategic initiatives like exploring agroforestry concepts and seeking inorganic growth opportunities may bolster future cash flows and reinforce long-term competitiveness amidst evolving executive leadership changes.
SK Biopharmaceuticals
Overview: SK Biopharmaceuticals Co., Ltd. is a pharmaceutical company focused on researching and developing drugs for central nervous system disorders, with a market cap of ₩8.70 trillion.