3 Companies Estimated To Be Undervalued By Up To 46%
In This Article:
In a week marked by solid gains in U.S. stocks and a rebound from previous losses, the global markets have shown resilience despite mixed economic signals. With core inflation slightly higher than expected and treasury yields reaching year-to-date lows, investors are navigating an environment ripe for identifying undervalued opportunities. In this context, finding stocks that are estimated to be undervalued by up to 46% can offer significant potential for growth. Here we explore three such companies that stand out in the current market landscape.
Top 10 Undervalued Stocks Based On Cash Flows
| Name | Current Price | Fair Value (Est) | Discount (Est) |
| Zhongji Innolight (SZSE:300308) | CN￥115.94 | CN￥231.31 | 49.9% |
| Kotobuki Spirits (TSE:2222) | ￥1719.00 | ￥3434.73 | 50% |
| Plus Alpha ConsultingLtd (TSE:4071) | ￥2087.00 | ￥4159.36 | 49.8% |
| Ohara (TSE:5218) | ￥1298.00 | ￥2594.34 | 50% |
| Litium (OM:LITI) | SEK8.24 | SEK16.42 | 49.8% |
| ChromaDex (NasdaqCM:CDXC) | US$3.55 | US$7.10 | 50% |
| Shanghai INT Medical Instruments (SEHK:1501) | HK$28.20 | HK$56.15 | 49.8% |
| Little Green Pharma (ASX:LGP) | A$0.085 | A$0.17 | 49.8% |
| Hiconics Eco-energy Technology (SZSE:300048) | CN￥4.36 | CN￥8.72 | 50% |
| Distribuidora Internacional de Alimentación (BME:DIA) | €0.0128 | €0.026 | 50% |
Below we spotlight a couple of our favorites from our exclusive screener.
Vestas Wind Systems
Overview: Vestas Wind Systems A/S designs, manufactures, installs, and services wind turbines in the United States, Denmark, and internationally with a market cap of DKK164.07 billion.
Operations: The company generates revenue through two primary segments: Service (€3.43 billion) and Power Solutions (€11.67 billion).
Estimated Discount To Fair Value: 39.9%
Vestas Wind Systems is trading at a significant discount to its estimated fair value, suggesting it may be undervalued based on cash flows. Despite recent financial challenges, including a net loss of €158 million in Q2 2024, the company is forecasted to grow earnings by 42.99% annually and become profitable within three years. Recent large-scale orders and long-term service agreements bolster its revenue outlook, supporting its potential for recovery and growth.
ASML Holding
Overview: ASML Holding N.V. develops, produces, markets, sells, and services advanced semiconductor equipment systems for chipmakers and has a market cap of approximately €288.48 billion.