Stock Analysis

Pharma Mar And 2 Other Stocks That May Be Trading Below Estimated Value

XTRA:ENR
Source: Shutterstock

In the current volatile global market environment, characterized by fluctuating corporate earnings and geopolitical tensions, investors are increasingly on the lookout for opportunities that may be trading below their estimated value. Amidst these conditions, undervalued stocks can present potential opportunities for those seeking to capitalize on price discrepancies, as they often offer a chance to invest in companies with solid fundamentals at a reduced cost.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Alltop Technology (TPEX:3526)NT$264.00NT$527.6750%
Brookline Bancorp (NasdaqGS:BRKL)US$12.06US$24.0149.8%
Sichuan Injet Electric (SZSE:300820)CN¥50.58CN¥101.0149.9%
Nordic Waterproofing Holding (OM:NWG)SEK170.60SEK340.7049.9%
Elekta (OM:EKTA B)SEK64.60SEK128.3649.7%
Kinaxis (TSX:KXS)CA$171.05CA$340.4149.8%
AeroEdge (TSE:7409)¥1733.00¥3445.3349.7%
GemPharmatech (SHSE:688046)CN¥13.06CN¥25.9449.7%
QuinStreet (NasdaqGS:QNST)US$23.71US$47.3549.9%
Equifax (NYSE:EFX)US$267.52US$531.2749.6%

Click here to see the full list of 913 stocks from our Undervalued Stocks Based On Cash Flows screener.

Let's dive into some prime choices out of the screener.

Pharma Mar (BME:PHM)

Overview: Pharma Mar, S.A. is a biopharmaceutical company focused on researching, developing, producing, and commercializing bio-active principles for oncology across various countries including Spain, Italy, Germany, Ireland, France, the rest of the European Union, and the United States; it has a market cap of €1.61 billion.

Operations: The company generates revenue primarily from its oncology segment, which amounts to €154.75 million.

Estimated Discount To Fair Value: 45%

Pharma Mar is trading at €91.05, significantly below its estimated fair value of €165.58, highlighting its undervaluation based on cash flows. Despite a volatile share price and reduced profit margins from 8.3% to 0.4%, earnings are forecasted to grow substantially at 44.74% annually over the next three years, outpacing the Spanish market's growth rate of 8.6%. Revenue growth is also expected to be robust at 23.2% per year, surpassing market averages.

BME:PHM Discounted Cash Flow as at Feb 2025
BME:PHM Discounted Cash Flow as at Feb 2025

E Ink Holdings (TPEX:8069)

Overview: E Ink Holdings Inc. researches, develops, manufactures, and sells electronic paper display panels worldwide with a market cap of NT$330.02 billion.

Operations: The company generates revenue primarily from its Electronic Components & Parts segment, totaling NT$28.32 billion.

Estimated Discount To Fair Value: 16.3%

E Ink Holdings is trading at NT$288, below its estimated fair value of NT$343.88, suggesting potential undervaluation based on cash flows. Despite a recent decline in net income, earnings are projected to grow significantly at 39.8% annually over the next three years, surpassing the Taiwan market's growth rate of 17.7%. Revenue is also expected to rise robustly at 29% per year. The company's collaboration with Cream Guitars showcases innovative applications and commitment to sustainability.

TPEX:8069 Discounted Cash Flow as at Feb 2025
TPEX:8069 Discounted Cash Flow as at Feb 2025

Siemens Energy (XTRA:ENR)

Overview: Siemens Energy AG is a global energy technology company with a market cap of approximately €45.70 billion.

Operations: The company's revenue is primarily derived from its Gas Services segment at €10.80 billion, Siemens Gamesa at €10.01 billion, Grid Technologies at €9.28 billion, and Transformation of Industry at €5.11 billion.

Estimated Discount To Fair Value: 14.5%

Siemens Energy is trading at €55.48, below its estimated fair value of €64.87, indicating potential undervaluation based on cash flows. The company recently returned to profitability with a net income of €1.18 billion for the year, compared to a loss previously. Earnings are forecasted to grow significantly at 26% annually over the next three years, outpacing the German market's growth rate and supported by expected revenue growth faster than the market average.

XTRA:ENR Discounted Cash Flow as at Feb 2025
XTRA:ENR Discounted Cash Flow as at Feb 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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About XTRA:ENR

Siemens Energy

Operates as an energy technology company worldwide.

High growth potential with acceptable track record.

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