Stock Analysis

3 Stocks Estimated To Be Trading At A Discount Of Up To 32.9%

Published

In the current global market landscape, uncertainty surrounding the incoming U.S. administration's policies has led to fluctuations in stock indices and sector performances, with financials and energy benefiting from deregulation hopes while healthcare faces challenges. Amidst these conditions, identifying undervalued stocks can be a strategic approach for investors seeking opportunities; such stocks may offer potential value when market sentiment is driven by broader economic shifts rather than company fundamentals.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Giant Biogene Holding (SEHK:2367)HK$49.10HK$97.6849.7%
Oddity Tech (NasdaqGM:ODD)US$43.12US$85.7349.7%
Wistron (TWSE:3231)NT$114.00NT$227.4849.9%
SeSa (BIT:SES)€75.75€150.4049.6%
Jetpak Top Holding (OM:JETPAK)SEK106.00SEK211.8750%
Loihde Oyj (HLSE:LOIHDE)€10.80€21.4849.7%
Telix Pharmaceuticals (ASX:TLX)A$22.20A$44.2249.8%
EnomotoLtd (TSE:6928)¥1477.00¥2942.1649.8%
Intermedical Care and Lab Hospital (SET:IMH)THB4.96THB9.8849.8%
Nokian Renkaat Oyj (HLSE:TYRES)€7.388€14.6949.7%

Click here to see the full list of 915 stocks from our Undervalued Stocks Based On Cash Flows screener.

Here we highlight a subset of our preferred stocks from the screener.

Tanmiah Food (SASE:2281)

Overview: Tanmiah Food Company, with a market cap of SAR2.73 billion, operates in the food and agriculture sector through its subsidiaries in Saudi Arabia and internationally.

Operations: The company generates revenue of SAR2.45 billion from its agriculture and food business segment.

Estimated Discount To Fair Value: 31.8%

Tanmiah Food Company appears undervalued based on cash flows, trading at SAR 136.6, significantly below its estimated fair value of SAR 200.2. Despite high debt levels, the company has shown strong earnings growth of 51.1% over the past year and is expected to continue growing profits by over 20% annually, outpacing the Saudi Arabian market's average growth rate. Recent earnings reports highlight increased sales and net income compared to last year, supporting this positive outlook.

SASE:2281 Discounted Cash Flow as at Nov 2024

Jinhui Mining Incorporation (SHSE:603132)

Overview: Jinhui Mining Incorporation Limited is involved in the exploration, mining, processing, and sale of lead, zinc, silver, and other mineral resources in China with a market cap of CN¥11.84 billion.

Operations: Jinhui Mining Incorporation Limited generates revenue through its activities in the exploration, mining, processing, and sale of lead, zinc, silver, and other mineral resources within China.

Estimated Discount To Fair Value: 11.9%

Jinhui Mining Incorporation is trading at CN¥12.11, slightly below its estimated fair value of CN¥13.74, and offers good relative value compared to peers. The company reported a rise in sales to CNY 1.10 billion for the first nine months of 2024, up from CNY 843.81 million the previous year, with net income increasing to CNY 349.99 million. Earnings are forecasted to grow significantly at over 37% annually despite high debt levels and unsustainable dividends based on free cash flows.

SHSE:603132 Discounted Cash Flow as at Nov 2024

KOSÉ (TSE:4922)

Overview: KOSÉ Corporation manufactures, markets, and sells cosmetics primarily in Japan and internationally, with a market cap of ¥386.67 billion.

Operations: The company's revenue segments include the Cosmetics Business at ¥253.43 billion and Cosmetaries at ¥64.22 billion.

Estimated Discount To Fair Value: 32.9%

KOSÉ is trading at ¥6,776, significantly below its estimated fair value of ¥10,103.08. Despite a volatile share price and reduced profit margins from 5.9% to 2.5%, earnings are expected to grow over 21% annually, surpassing the Japanese market's growth forecast. Recent organizational changes aim to enhance operations in Europe and America and streamline domestic channels. However, revised earnings guidance indicates lower profits than previously expected for fiscal year-end 2024.

TSE:4922 Discounted Cash Flow as at Nov 2024

Where To Now?

Searching for a Fresh Perspective?

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.

New: Manage All Your Stock Portfolios in One Place

We've created the ultimate portfolio companion for stock investors, and it's free.

• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks

Try a Demo Portfolio for Free

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com