Stock Analysis

3 Value Stock Picks Estimated To Be Trading At Up To 49.6% Discount

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As global markets navigate the uncertainties of the incoming Trump administration's policies, investors are witnessing a mix of sector performances and fluctuating indices. Amidst this volatility, identifying undervalued stocks can be a prudent strategy for those looking to capitalize on potential market inefficiencies. In this context, assessing company fundamentals and market positioning becomes crucial in determining which stocks may offer value opportunities despite broader economic challenges.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Tibet Rhodiola Pharmaceutical Holding (SHSE:600211)CN¥38.49CN¥76.9350%
Cambi (OB:CAMBI)NOK15.10NOK30.2050%
Wuhan Keqian BiologyLtd (SHSE:688526)CN¥14.57CN¥29.0949.9%
Insyde Software (TPEX:6231)NT$464.50NT$927.3949.9%
SeSa (BIT:SES)€75.50€150.4949.8%
Zhaojin Mining Industry (SEHK:1818)HK$11.58HK$23.0649.8%
CS Wind (KOSE:A112610)₩41150.00₩82262.5250%
Advanced Energy Industries (NasdaqGS:AEIS)US$109.84US$219.2549.9%
Intellian Technologies (KOSDAQ:A189300)₩44450.00₩88757.9949.9%
St. James's Place (LSE:STJ)£8.21£16.3749.9%

Click here to see the full list of 933 stocks from our Undervalued Stocks Based On Cash Flows screener.

Let's review some notable picks from our screened stocks.

Delhivery (NSEI:DELHIVERY)

Overview: Delhivery Limited offers supply chain solutions across various sectors in India, including e-commerce, retail, and manufacturing, with a market cap of ₹242.50 billion.

Operations: The company's revenue from logistics services amounts to ₹86.32 billion.

Estimated Discount To Fair Value: 11.1%

Delhivery's recent earnings report shows a turnaround with a net income of INR 102.04 million for the second quarter, compared to a loss last year. The stock trades at INR 344.25, slightly below its estimated fair value of INR 387.29, suggesting it may be undervalued based on cash flows despite not being significantly so. Earnings are expected to grow substantially at 78.3% annually, although revenue growth is forecasted to be moderate at 13.7%.

NSEI:DELHIVERY Discounted Cash Flow as at Nov 2024

Bosideng International Holdings (SEHK:3998)

Overview: Bosideng International Holdings Limited operates in the apparel business in the People's Republic of China with a market cap of HK$46.96 billion.

Operations: The company's revenue is derived from Down Apparels (CN¥19.54 billion), Ladieswear Apparels (CN¥819.80 million), Diversified Apparels (CN¥235.33 million), and Original Equipment Manufacturing Management (CN¥2.70 billion).

Estimated Discount To Fair Value: 33.5%

Bosideng International Holdings is trading at HK$4.4, significantly below its estimated fair value of HK$6.61, indicating potential undervaluation based on cash flows. Analysts forecast revenue growth of 11.4% annually, outpacing the Hong Kong market average of 7.7%. Recent strategic partnership with Moose Knuckles could enhance global market presence, although Bosideng's dividend track record remains unstable despite a recent increase to 20 HK cents per share approved in August 2024.

SEHK:3998 Discounted Cash Flow as at Nov 2024

SISB (SET:SISB)

Overview: SISB Public Company Limited offers educational services and has a market cap of THB29.38 billion.

Operations: The company's revenue is primarily derived from its international school segment, amounting to THB2.20 billion.

Estimated Discount To Fair Value: 49.6%

SISB is trading at THB32, well below its estimated fair value of THB63.45, highlighting potential undervaluation based on cash flows. Earnings are expected to grow significantly at 23.8% annually, outpacing the Thai market's 16.9%. Revenue growth is projected at 15% per year, surpassing the market average of 6.6%. Analysts agree on a potential price rise by 38.3%, supported by a strong forecasted return on equity of 31.4% in three years.

SET:SISB Discounted Cash Flow as at Nov 2024

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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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