Stock Analysis

Jindal Stainless Leads 3 Stocks Possibly Priced Below Intrinsic Estimates

Published

As global markets navigate a period of heightened volatility, with major indices experiencing fluctuations amid busy earnings reports and economic data releases, investors are increasingly focused on identifying opportunities that may be undervalued. In this environment, stocks that are potentially priced below their intrinsic value can offer compelling prospects for those looking to capitalize on market inefficiencies.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Tibet Rhodiola Pharmaceutical Holding (SHSE:600211)CN¥38.67CN¥76.8949.7%
PharmaResearch (KOSDAQ:A214450)₩226500.00₩451715.3849.9%
JYP Entertainment (KOSDAQ:A035900)₩53900.00₩107294.9049.8%
Ingenia Communities Group (ASX:INA)A$4.73A$9.4549.9%
BayCurrent Consulting (TSE:6532)¥4902.00¥9762.9349.8%
EVERTEC (NYSE:EVTC)US$33.02US$65.7949.8%
Laboratorio Reig Jofre (BME:RJF)€2.90€5.7749.7%
Open Lending (NasdaqGM:LPRO)US$6.14US$12.2149.7%
Hunan TV & Broadcast Intermediary (SZSE:000917)CN¥10.01CN¥20.0150%
Energy One (ASX:EOL)A$5.56A$11.0649.7%

Click here to see the full list of 960 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.

Jindal Stainless (NSEI:JSL)

Overview: Jindal Stainless Limited manufactures and sells stainless-steel flat products in India and internationally, with a market cap of ₹563.23 billion.

Operations: The company's revenue primarily comes from its stainless steel products segment, which generated ₹377.88 billion.

Estimated Discount To Fair Value: 36.9%

Jindal Stainless appears undervalued, trading significantly below its estimated fair value of ₹1,083.76, with a current price of ₹684. Despite a decline in recent earnings, the company's strategic initiatives in sustainable logistics and government projects highlight potential for future growth. Revenue and earnings are projected to grow faster than the Indian market at 18.2% and 30.5% per year respectively, although dividend stability remains uncertain.

NSEI:JSL Discounted Cash Flow as at Nov 2024

Jiangxi Rimag Group (SEHK:2522)

Overview: Jiangxi Rimag Group Co., Ltd. operates medical imaging centers in China and has a market cap of HK$14.43 billion.

Operations: The company generates revenue of CN¥812.85 million from its medical labs and research segment.

Estimated Discount To Fair Value: 17.5%

Jiangxi Rimag Group is trading at HK$40.5, below its estimated fair value of HK$49.09, indicating potential undervaluation based on cash flows. Despite a decrease in recent earnings and profit margins dropping to 0.6% from 2.6%, the company forecasts significant earnings growth of 71.8% annually over the next three years, outpacing the Hong Kong market's average growth rate. However, return on equity remains low at an anticipated 9.7%.

SEHK:2522 Discounted Cash Flow as at Nov 2024

Fujian Apex SoftwareLTD (SHSE:603383)

Overview: Fujian Apex Software Co., LTD is a professional platform software and information service provider in China with a market cap of CN¥8.82 billion.

Operations: The company generates revenue of CN¥707.34 million from its application software service industry segment.

Estimated Discount To Fair Value: 14.4%

Fujian Apex SoftwareLTD, priced at CN¥42.93, is trading below its estimated fair value of CN¥50.18, offering potential undervaluation based on cash flows. Despite recent earnings declines—sales fell to CN¥420.63 million from last year's CN¥457.21 million—the company anticipates significant annual earnings growth of 24.1% over the next three years, exceeding the Chinese market's average revenue growth rate and achieving a high forecasted return on equity of 20.4%.

SHSE:603383 Discounted Cash Flow as at Nov 2024

Make It Happen

Interested In Other Possibilities?

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