In This Article:
As the Canadian market navigates a landscape of stabilizing yields and moderated inflation, the TSX has seen a modest rise of 3% in early 2025. In this environment, identifying stocks priced below their intrinsic value can offer potential opportunities for investors seeking to capitalize on economic conditions that may favor well-positioned companies.
Top 10 Undervalued Stocks Based On Cash Flows In Canada
Name | Current Price | Fair Value (Est) | Discount (Est) |
Tourmaline Oil (TSX:TOU) | CA$66.28 | CA$127.89 | 48.2% |
Decisive Dividend (TSXV:DE) | CA$6.26 | CA$11.52 | 45.7% |
Thunderbird Entertainment Group (TSXV:TBRD) | CA$1.75 | CA$3.37 | 48.1% |
Groupe Dynamite (TSX:GRGD) | CA$15.80 | CA$28.43 | 44.4% |
Kinaxis (TSX:KXS) | CA$160.59 | CA$318.64 | 49.6% |
Quisitive Technology Solutions (TSXV:QUIS) | CA$0.56 | CA$1.06 | 47.3% |
Electrovaya (TSX:ELVA) | CA$3.225 | CA$6.00 | 46.2% |
Wishpond Technologies (TSXV:WISH) | CA$0.32 | CA$0.57 | 43.6% |
Enterprise Group (TSX:E) | CA$2.11 | CA$4.15 | 49.1% |
Condor Energies (TSX:CDR) | CA$1.74 | CA$3.41 | 48.9% |
Here we highlight a subset of our preferred stocks from the screener.
Colliers International Group
Overview: Colliers International Group Inc. is a global provider of commercial real estate services to corporate and institutional clients across various regions, with a market cap of approximately CA$9.23 billion.
Operations: The company's revenue segments include Engineering at $1.24 billion, Real Estate Services at $3.07 billion, and Investment Management at $512.59 million.
Estimated Discount To Fair Value: 15%
Colliers International Group is trading at CA$184.37, about 15% below its estimated fair value of CA$216.92, suggesting potential undervaluation based on cash flows. Despite a high debt level, earnings are expected to grow at 17.6% annually, outpacing the Canadian market average of 16%. Recent executive changes and an expanded credit facility enhance growth prospects but significant insider selling may raise caution among investors.
Docebo
Overview: Docebo Inc. is a learning management software company offering an AI-powered learning platform across North America and internationally, with a market cap of CA$1.65 billion.
Operations: The company generates revenue primarily from its educational software segment, amounting to $209.17 million.