China Runji Cement and Rising Sun Bancorp are companies that are currently trading below what they’re actually worth. Investors can profit from the difference by investing in these stocks as the current market prices should eventually move towards their true values. If capital gains are what you’re after in your next investment, I’ve put together a list of undervalued stocks you may be interested in, based on the latest financial data from each company.
China Runji Cement Inc. (OTCPK:CRJI)
China Runji Cement Inc. engages in the manufacture and sale of cement in the People’s Republic of China. China Runji Cement was formed in 2003 and has a market cap of USD $1.58M, putting it in the small-cap group.
CRJI’s shares are currently floating at around -94% below its real value of $0.34, at the market price of $0.02, based on its expected future cash flows. The discrepancy signals an opportunity to buy low. Moreover, CRJI’s PE ratio stands at around 0.4x against its its basic materials peer level of 21.9x, indicating that relative to its comparable set of companies, CRJI’s stock can be bought at a cheaper price. CRJI is also a financially robust company, with short-term assets covering liabilities in the near future as well as in the long run. More on China Runji Cement here.
Rising Sun Bancorp (OTCPK:RSAM)
Rising Sun Bancorp operates as a holding company for NBRS Financial Bank that provides various banking services to individual and business customers. Rising Sun Bancorp was founded in 1873 and with the market cap of USD $11.26K, it falls under the small-cap stocks category.
RSAM’s stock is now trading at -100% lower than its actual worth of $8.09, at a price tag of $0.01, based on its expected future cash flows. This discrepancy gives us a chance to invest in RSAM at a discount. What’s even more appeal is that RSAM’s PE ratio stands at around 0x while its banks peer level trades at 16.8x, meaning that relative to its comparable company group, we can buy RSAM’s stock at a cheaper price today. RSAM is also strong financially, as near-term assets sufficiently cover liabilities in the near future as well as in the long run. More on Rising Sun Bancorp here.
Natural Alternatives International, Inc. (NASDAQ:NAII)
Natural Alternatives International, Inc. engages in formulating, manufacturing, and marketing nutritional supplements in the United States and internationally. Formed in 1980, and currently lead by Mark LeDoux, the company currently employs 212 people and with the company’s market cap sitting at USD $77.11M, it falls under the small-cap stocks category.
NAII’s stock is currently floating at around -79% below its true value of $49.04, at the market price of $10.38, based on its expected future cash flows. This price and value mismatch indicates a potential opportunity to buy the stock at a low price. What’s even more appeal is that NAII’s PE ratio is trading at 11.1x compared to its personal products peer level of 23.2x, suggesting that relative to its competitors, NAII’s shares can be purchased for a lower price. NAII is also a financially robust company, as short-term assets amply cover upcoming and long-term liabilities. NAII has zero debt on its books as well, meaning it has no long term debt obligations to worry about. Interested in Natural Alternatives International? Find out more here.For more financially sound, undervalued companies to add to your portfolio, you can use our free platform to explore our interactive list of undervalued stocks.