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As we enter January 2025, global markets are reflecting a mixed performance with the U.S. indices closing out a strong year despite recent fluctuations, while economic indicators like the Chicago PMI highlight ongoing challenges in manufacturing. Amidst these dynamics, identifying undervalued stocks can be crucial for investors looking to capitalize on potential opportunities within sectors that may benefit from current market conditions and economic trends.
Top 10 Undervalued Stocks Based On Cash Flows
| Name | Current Price | Fair Value (Est) | Discount (Est) |
| Avant Group (TSE:3836) | ¥1878.00 | ¥3755.66 | 50% |
| NBTM New Materials Group (SHSE:600114) | CN¥15.55 | CN¥31.07 | 49.9% |
| Gaming Realms (AIM:GMR) | £0.36 | £0.72 | 49.9% |
| Sudarshan Chemical Industries (BSE:506655) | ₹1120.30 | ₹2232.36 | 49.8% |
| Kinaxis (TSX:KXS) | CA$170.99 | CA$340.11 | 49.7% |
| ReadyTech Holdings (ASX:RDY) | A$3.15 | A$6.30 | 50% |
| Vogo (ENXTPA:ALVGO) | €2.94 | €5.87 | 49.9% |
| Exosens (ENXTPA:EXENS) | €22.505 | €44.77 | 49.7% |
| iFLYTEKLTD (SZSE:002230) | CN¥45.41 | CN¥90.65 | 49.9% |
| Salmones Camanchaca (SNSE:SALMOCAM) | CLP2434.90 | CLP4848.26 | 49.8% |
Below we spotlight a couple of our favorites from our exclusive screener.
Mao Geping Cosmetics
Overview: Mao Geping Cosmetics Co., Ltd. operates in China, offering color cosmetics and skincare products under the MAOGEPING and Love Keeps brands, with a market cap of HK$27.82 billion.
Operations: The company generates CN¥3.46 billion in revenue from its personal products segment.
Estimated Discount To Fair Value: 29.2%
Mao Geping Cosmetics is trading at HK$58.15, below its estimated fair value of HK$82.13, suggesting undervaluation based on cash flows. The company recently completed an IPO worth HK$2.34 billion, enhancing its financial position. Earnings grew by 59.2% last year and are expected to grow significantly at 24.3% annually over the next three years, outpacing the Hong Kong market's growth rate of 11.1%, despite shares being highly illiquid.
SolaX Power Network Technology (Zhejiang)
Overview: SolaX Power Network Technology (Zhejiang) Co., Ltd. (ticker: SHSE:688717) operates in the renewable energy sector, focusing on the development and manufacturing of solar power products, with a market cap of CN¥7.64 billion.
Operations: The company's revenue is primarily derived from its Electronic Components & Parts segment, totaling CN¥2.87 billion.