Stock Analysis

Discovering Arteche Lantegi Elkartea And Two More Stocks Estimated Below Intrinsic Value

BME:ART
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As global markets navigate the uncertainties surrounding the incoming Trump administration's policies, investors are witnessing fluctuating sector performances and shifting expectations for interest rates. Amidst these developments, identifying stocks that may be trading below their intrinsic value can offer potential opportunities for those looking to capitalize on market inefficiencies. In this context, Arteche Lantegi Elkartea and two other stocks stand out as intriguing candidates worth exploring.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Alltop Technology (TPEX:3526)NT$273.50NT$554.6550.7%
Lindab International (OM:LIAB)SEK226.60SEK450.1849.7%
SeSa (BIT:SES)€76.00€150.7149.6%
S-Pool (TSE:2471)¥344.00¥681.8449.5%
Solum (KOSE:A248070)₩17820.00₩34265.4548%
Guangdong Fenghua Advanced Technology (Holding) (SZSE:000636)CN¥15.79CN¥32.3151.1%
XD (SEHK:2400)HK$22.40HK$44.6049.8%
AirBoss of America (TSX:BOS)CA$4.25CA$8.4549.7%
Intellian Technologies (KOSDAQ:A189300)₩43900.00₩88907.7950.6%
iFLYTEKLTD (SZSE:002230)CN¥48.35CN¥105.8554.3%

Click here to see the full list of 935 stocks from our Undervalued Stocks Based On Cash Flows screener.

We're going to check out a few of the best picks from our screener tool.

Arteche Lantegi Elkartea (BME:ART)

Overview: Arteche Lantegi Elkartea, S.A. designs, manufactures, integrates, and supplies electrical equipment and solutions with a focus on renewable energies and smart grids both in Spain and internationally, with a market cap of €350.47 million.

Operations: The company's revenue segments include Network Reliability (€48.70 million), Systems Measurement and Monitoring (€304.31 million), and Automation of Transmission and Distribution Networks (€85.32 million).

Estimated Discount To Fair Value: 48.6%

Arteche Lantegi Elkartea is trading at €6.15, significantly below its estimated fair value of €11.97, suggesting it may be undervalued based on cash flows. Despite high debt levels and recent share price volatility, the company reported strong earnings growth with net income rising to €7.42 million for H1 2024 from €4.29 million a year ago. Forecasts predict annual earnings growth of 28.8%, outpacing the Spanish market's expected growth rate of 8.6%.

BME:ART Discounted Cash Flow as at Nov 2024
BME:ART Discounted Cash Flow as at Nov 2024

Savaria (TSX:SIS)

Overview: Savaria Corporation offers accessibility solutions for the elderly and physically challenged across Canada, the United States, Europe, and internationally with a market cap of CA$1.58 billion.

Operations: The company's revenue segments include Patient Care at CA$184.01 million and Segment Adjustment at CA$677.25 million.

Estimated Discount To Fair Value: 21.4%

Savaria Corporation is trading at CA$22.13, below its estimated fair value of CA$28.16, highlighting potential undervaluation based on cash flows. Recent earnings show net income growth to CAD 13.03 million in Q3 2024 from CAD 12.05 million a year prior, with annual profit growth forecasted at a significant rate of over 31%. Despite substantial insider selling recently and large one-off items affecting results, the company's earnings are expected to grow robustly above market rates.

TSX:SIS Discounted Cash Flow as at Nov 2024
TSX:SIS Discounted Cash Flow as at Nov 2024

Triple Flag Precious Metals (TSX:TFPM)

Overview: Triple Flag Precious Metals Corp. is a streaming and royalty company focused on acquiring and managing precious metals interests globally, with a market cap of CA$4.59 billion.

Operations: The company's revenue is primarily derived from acquiring and managing precious metal and other high-quality streams and royalties, totaling $246.52 million.

Estimated Discount To Fair Value: 40.8%

Triple Flag Precious Metals, trading at CA$22.78, is significantly undervalued with an estimated fair value of CA$38.51. The company reported a notable turnaround in Q3 2024, achieving US$29.65 million net income compared to a loss last year and expects revenue growth of 12.8% annually, surpassing the Canadian market's average growth rate. However, recent insider selling raises concerns despite the positive outlook and share repurchase program announced for up to 5% of shares outstanding.

TSX:TFPM Discounted Cash Flow as at Nov 2024
TSX:TFPM Discounted Cash Flow as at Nov 2024

Make It Happen

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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