Stock Analysis

3 Stocks Estimated To Be Undervalued By Up To 50%

SZSE:003032
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As global markets navigate a period of uncertainty marked by inflation concerns and fluctuating interest rates, investors are keenly observing the performance of various indices. Despite these challenges, opportunities may arise for discerning investors who focus on identifying stocks that appear undervalued relative to their intrinsic worth. In this context, understanding the potential value hidden within certain stocks can be crucial for those looking to capitalize on market inefficiencies.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Turkcell Iletisim Hizmetleri (IBSE:TCELL)TRY95.20TRY190.0349.9%
Türkiye Sise Ve Cam Fabrikalari (IBSE:SISE)TRY39.18TRY78.3450%
Bank BTPN Syariah (IDX:BTPS)IDR860.00IDR1715.8649.9%
German American Bancorp (NasdaqGS:GABC)US$39.26US$78.0649.7%
GemPharmatech (SHSE:688046)CN¥13.06CN¥25.9849.7%
Shinko Electric Industries (TSE:6967)¥5865.00¥11696.0949.9%
AK Medical Holdings (SEHK:1789)HK$4.28HK$8.5249.8%
TSE (KOSDAQ:A131290)₩43400.00₩86241.9949.7%
Jiangsu Chuanzhiboke Education Technology (SZSE:003032)CN¥9.20CN¥18.4050%
Coeur Mining (NYSE:CDE)US$6.35US$12.6349.7%

Click here to see the full list of 874 stocks from our Undervalued Stocks Based On Cash Flows screener.

Let's uncover some gems from our specialized screener.

Shandong Weigao Orthopaedic Device (SHSE:688161)

Overview: Shandong Weigao Orthopaedic Device Co., Ltd. operates in the medical device industry, focusing on the development and manufacturing of orthopaedic products, with a market cap of approximately CN¥9.69 billion.

Operations: The company's revenue is primarily derived from its medical products segment, amounting to CN¥1.28 billion.

Estimated Discount To Fair Value: 49%

Shandong Weigao Orthopaedic Device is trading at CN¥24.39, significantly below its estimated fair value of CN¥47.79, indicating potential undervaluation based on cash flows. Despite being removed from a key index, the company's earnings and revenue are forecast to grow faster than the Chinese market at 30.4% and 19.3% per year respectively. However, its return on equity is projected to remain low at 7.7%, which may temper investor enthusiasm.

SHSE:688161 Discounted Cash Flow as at Jan 2025
SHSE:688161 Discounted Cash Flow as at Jan 2025

Jiangsu Chuanzhiboke Education Technology (SZSE:003032)

Overview: Jiangsu Chuanzhiboke Education Technology Co., Ltd. operates in the education technology sector and has a market cap of CN¥3.70 billion.

Operations: The company's revenue segment primarily comprises Training Services, generating CN¥269.45 million.

Estimated Discount To Fair Value: 50%

Jiangsu Chuanzhiboke Education Technology is trading at CN¥9.2, well below its fair value estimate of CN¥18.4, highlighting potential undervaluation based on cash flows. Despite a significant revenue drop to CN¥180.75 million and a net loss of CN¥41.22 million for the recent nine months, forecasts suggest robust revenue growth of 27.6% annually and earnings expected to grow by 121% per year, surpassing market averages and indicating future profitability within three years.

SZSE:003032 Discounted Cash Flow as at Jan 2025
SZSE:003032 Discounted Cash Flow as at Jan 2025

Anhui Anli Material Technology (SZSE:300218)

Overview: Anhui Anli Material Technology Co., Ltd. focuses on the R&D, production, sale, and servicing of ecological functional polyurethane synthetic leather products and polymer composite materials in China, with a market cap of CN¥3.46 billion.

Operations: The company generates revenue from its artificial leather synthetic leather industry segment, amounting to CN¥2.37 billion.

Estimated Discount To Fair Value: 28.3%

Anhui Anli Material Technology's recent earnings report shows a substantial net income growth to CNY 150.26 million, up from CNY 41.63 million the previous year, with basic earnings per share rising to CNY 0.7027. The stock trades at approximately CN¥16.16, significantly below its estimated fair value of CN¥22.52, indicating potential undervaluation based on cash flows despite an unstable dividend history and low forecasted return on equity of 17.3% in three years.

SZSE:300218 Discounted Cash Flow as at Jan 2025
SZSE:300218 Discounted Cash Flow as at Jan 2025

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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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