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As the United States stock market experiences a surge, buoyed by strong bank earnings and favorable inflation data that have reignited hopes for Federal Reserve rate cuts, investors are keenly eyeing opportunities that may be trading below their intrinsic value. In such an environment, identifying stocks with solid fundamentals and potential for growth can be crucial for those looking to capitalize on market movements.
Top 10 Undervalued Stocks Based On Cash Flows In The United States
| Name | Current Price | Fair Value (Est) | Discount (Est) |
| Atlantic Union Bankshares (NYSE:AUB) | $38.12 | $75.65 | 49.6% |
| Dime Community Bancshares (NasdaqGS:DCOM) | $32.25 | $61.63 | 47.7% |
| Berkshire Hills Bancorp (NYSE:BHLB) | $28.57 | $56.53 | 49.5% |
| Old National Bancorp (NasdaqGS:ONB) | $22.76 | $44.25 | 48.6% |
| German American Bancorp (NasdaqGS:GABC) | $39.96 | $78.06 | 48.8% |
| Kanzhun (NasdaqGS:BZ) | $14.01 | $27.22 | 48.5% |
| Dynatrace (NYSE:DT) | $50.52 | $96.67 | 47.7% |
| LifeMD (NasdaqGM:LFMD) | $4.90 | $9.77 | 49.8% |
| Bilibili (NasdaqGS:BILI) | $16.83 | $32.75 | 48.6% |
| Coeur Mining (NYSE:CDE) | $6.39 | $12.63 | 49.4% |
Let's uncover some gems from our specialized screener.
CoStar Group
Overview: CoStar Group, Inc. offers information, analytics, and online marketplace services to professionals in the commercial real estate, hospitality, and residential industries across multiple regions including the United States and Europe, with a market cap of approximately $28.54 billion.
Operations: The company's revenue segment is primarily derived from Internet Information Providers, generating approximately $2.67 billion.
Estimated Discount To Fair Value: 29.0%
CoStar Group's stock is trading at US$73.22, significantly below its estimated fair value of US$103.15, suggesting it may be undervalued based on cash flows. Although recent profit margins have declined from 16.9% to 6.6%, the company's earnings are expected to grow substantially at 35% annually over the next three years, outpacing market averages. Despite some insider selling, revenue growth forecasts remain robust at 12.5% per year, exceeding broader U.S. market expectations.
Old National Bancorp
Overview: Old National Bancorp is a bank holding company for Old National Bank, offering a range of financial services to individual and commercial clients in the United States, with a market cap of approximately $7.38 billion.