Stock Analysis
3 Stocks That Could Be Trading Below Estimated Intrinsic Value By As Much As 48.4%
Reviewed by Simply Wall St
In the midst of geopolitical tensions and consumer spending concerns, global markets have experienced fluctuations, with major U.S. indexes declining after a brief rally earlier in the week. Amidst this uncertainty, investors are increasingly seeking opportunities in stocks that may be undervalued relative to their intrinsic value, particularly those that show resilience against economic pressures such as tariffs and inflation. Identifying such stocks requires careful analysis of their fundamentals and potential for growth despite current market conditions.
Top 10 Undervalued Stocks Based On Cash Flows
Name | Current Price | Fair Value (Est) | Discount (Est) |
MINISO Group Holding (NYSE:MNSO) | US$20.68 | US$41.04 | 49.6% |
Vimi Fasteners (BIT:VIM) | €0.96 | €1.91 | 49.8% |
OSAKA Titanium technologiesLtd (TSE:5726) | ¥1860.00 | ¥3696.77 | 49.7% |
Power Wind Health Industry (TWSE:8462) | NT$113.50 | NT$226.14 | 49.8% |
CD Projekt (WSE:CDR) | PLN220.70 | PLN441.19 | 50% |
Vestas Wind Systems (CPSE:VWS) | DKK102.40 | DKK204.54 | 49.9% |
Thunderbird Entertainment Group (TSXV:TBRD) | CA$1.69 | CA$3.36 | 49.6% |
Hanwha Aerospace (KOSE:A012450) | ₩680000.00 | ₩1356955.59 | 49.9% |
CGN Mining (SEHK:1164) | HK$1.43 | HK$2.85 | 49.8% |
Shenzhen Anche Technologies (SZSE:300572) | CN¥18.69 | CN¥37.15 | 49.7% |
Here we highlight a subset of our preferred stocks from the screener.
Admicom Oyj (HLSE:ADMCM)
Overview: Admicom Oyj provides cloud-based software and business process automation solutions in Finland, with a market capitalization of €269.27 million.
Operations: The company's revenue primarily comes from its Software & Programming segment, which generated €35.57 million.
Estimated Discount To Fair Value: 27.4%
Admicom Oyj is trading at €54, significantly below its estimated fair value of €74.41, indicating undervaluation based on cash flows. Despite a slight decline in net income to €5.87 million for 2024, earnings are projected to grow significantly at 22% annually over the next three years, outpacing the Finnish market's growth rate of 11.7%. Revenue growth is expected at 10.7% per year, with a high forecasted return on equity of 29.6%.
- In light of our recent growth report, it seems possible that Admicom Oyj's financial performance will exceed current levels.
- Click here and access our complete balance sheet health report to understand the dynamics of Admicom Oyj.
Kolmar Korea (KOSE:A161890)
Overview: Kolmar Korea Co., Ltd. is engaged in the research, development, production, and sale of beauty and health products both domestically and internationally with a market cap of ₩1.37 trillion.
Operations: The company's revenue is derived from several segments, including Cosmetics at ₩1.29 trillion, Medicines at ₩793.19 billion, Packaging at ₩243.74 billion, and Food at ₩86.88 billion.
Estimated Discount To Fair Value: 35.4%
Kolmar Korea is trading at ₩58,000, significantly below its fair value estimate of ₩89,778.95. Earnings are projected to grow substantially at 46.63% annually over the next three years, surpassing the Korean market's growth rate of 25.8%. However, revenue growth is expected to be moderate at 9.8% per year and debt coverage by operating cash flow remains a concern. Analysts agree on a potential price increase of 47.1%, although return on equity may remain low at 14.6%.
- Our growth report here indicates Kolmar Korea may be poised for an improving outlook.
- Unlock comprehensive insights into our analysis of Kolmar Korea stock in this financial health report.
Nyab (OM:NYAB)
Overview: Nyab AB (publ) offers engineering, construction, and maintenance services for energy, infrastructure, and industrial projects in Finland and Sweden with a market cap of SEK3.64 billion.
Operations: The company generates revenue from its heavy construction segment, amounting to €314.33 million.
Estimated Discount To Fair Value: 48.4%
NYAB is trading at SEK5.43, well below its estimated fair value of SEK10.52, indicating it is undervalued based on cash flows. Earnings are projected to grow significantly at 37.4% annually, outpacing the Swedish market's growth rate of 9.6%. Despite this strong earnings forecast, profit margins have decreased from last year and revenue growth is expected to be moderate at 14.8% per year. Recent contracts with Trosa and Luleå municipalities enhance future revenue potential.
- Our earnings growth report unveils the potential for significant increases in Nyab's future results.
- Take a closer look at Nyab's balance sheet health here in our report.
Where To Now?
- Navigate through the entire inventory of 926 Undervalued Stocks Based On Cash Flows here.
- Are you invested in these stocks already? Keep abreast of every twist and turn by setting up a portfolio with Simply Wall St, where we make it simple for investors like you to stay informed and proactive.
- Enhance your investing ability with the Simply Wall St app and enjoy free access to essential market intelligence spanning every continent.
Ready For A Different Approach?
- Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
- Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
- Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
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 HLSE:ADMCM
Admicom Oyj
Engages in the cloud-based software and business process automation solutions in Finland.