Stock Analysis

Guangdong Fenghua Advanced Technology (Holding) And 2 More Stocks Trading At Estimated Discounts

Published

In a week marked by a flurry of earnings reports and economic data, global markets experienced mixed performances, with major indices like the Nasdaq Composite and S&P MidCap 400 reaching record highs before retreating. Amidst this volatility, investors are increasingly seeking opportunities in undervalued stocks that may offer potential value despite broader market uncertainties. Identifying such stocks often involves looking for companies with strong fundamentals that have been overlooked or mispriced by the market, particularly during periods of economic fluctuation or cautious investor sentiment.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Avant Group (TSE:3836)¥1971.00¥3936.1549.9%
Nordic Waterproofing Holding (OM:NWG)SEK175.60SEK349.5349.8%
Elica (BIT:ELC)€1.725€3.4449.8%
On the Beach Group (LSE:OTB)£1.534£3.0750%
Cosmax (KOSE:A192820)₩157400.00₩314256.0049.9%
KeePer Technical Laboratory (TSE:6036)¥3920.00¥7817.9649.9%
SciDev (ASX:SDV)A$0.615A$1.2349.8%
SBI Sumishin Net Bank (TSE:7163)¥2709.00¥5400.1049.8%
Fine Foods & Pharmaceuticals N.T.M (BIT:FF)€8.36€16.6749.8%
Suzhou Zelgen BiopharmaceuticalsLtd (SHSE:688266)CN¥63.90CN¥127.2549.8%

Click here to see the full list of 956 stocks from our Undervalued Stocks Based On Cash Flows screener.

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

Guangdong Fenghua Advanced Technology (Holding) (SZSE:000636)

Overview: Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. operates in the electronic components industry and has a market cap of CN¥19.15 billion.

Operations: The company generates revenue of CN¥4.55 billion from its Electronic Components & Parts segment.

Estimated Discount To Fair Value: 49%

Guangdong Fenghua Advanced Technology (Holding) appears undervalued, trading at CN¥16.5, significantly below its estimated fair value of CN¥32.38. The company reported strong earnings growth of 160.1% over the past year, with net income rising to CNY 265.5 million for the nine months ended September 2024 from CNY 111.47 million a year ago. Forecasts suggest annual earnings growth of 38.1%, outpacing the Chinese market's average growth rate of 26.1%.

SZSE:000636 Discounted Cash Flow as at Nov 2024

Anhui Jinhe IndustrialLtd (SZSE:002597)

Overview: Anhui Jinhe Industrial Co., Ltd. operates in the chemicals industry in China with a market capitalization of CN¥13.10 billion.

Operations: The company generates revenue from its operations in the chemicals sector within China.

Estimated Discount To Fair Value: 24.6%

Anhui Jinhe Industrial Ltd. is trading at CN¥25.2, below its estimated fair value of CN¥33.42, highlighting potential undervaluation based on cash flows. Despite a decline in profit margins from 15.9% to 10.5% and lower net income for the nine months ended September 2024, earnings are forecast to grow significantly at 34.5% annually, exceeding the Chinese market average of 26.1%. However, its dividend yield of 0.79% isn't well-covered by free cash flows.

SZSE:002597 Discounted Cash Flow as at Nov 2024

YanKer shop FoodLtd (SZSE:002847)

Overview: YanKer shop Food Co., Ltd engages in the research, development, production, and sale of leisure food products both in China and internationally, with a market cap of CN¥14.66 billion.

Operations: The company generates revenue primarily from the production and sale of snack food, amounting to CN¥4.97 billion.

Estimated Discount To Fair Value: 36.5%

YanKer shop Food Ltd. is currently trading at CN¥55.71, significantly below its estimated fair value of CN¥87.66, suggesting potential undervaluation based on cash flows. The company reported strong earnings growth for the nine months ended September 2024, with net income rising to CNY 493.03 million from CNY 395.87 million a year earlier. However, it has an unstable dividend track record and earnings are forecast to grow slower than the market average at 22.3% annually.

SZSE:002847 Discounted Cash Flow as at Nov 2024

Summing It All Up

Seeking Other Investments?

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