Stock Analysis

3 Stocks Estimated To Be 19.3% To 36% Below Intrinsic Value

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Amidst a turbulent start to the year, global markets have been grappling with inflation concerns and political uncertainties, leading to declines in major indices and heightened volatility. As investors navigate these choppy waters, identifying stocks that are trading below their intrinsic value can present potential opportunities for those looking to capitalize on market inefficiencies.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Türkiye Sise Ve Cam Fabrikalari (IBSE:SISE)TRY39.32TRY78.5950%
Decisive Dividend (TSXV:DE)CA$5.96CA$11.8949.9%
Elekta (OM:EKTA B)SEK61.10SEK122.0249.9%
Zhende Medical (SHSE:603301)CN¥21.00CN¥41.9149.9%
Meriaura Group Oyj (OM:MERIS)SEK0.49SEK0.9850%
Constellium (NYSE:CSTM)US$10.32US$20.5849.9%
Shinko Electric Industries (TSE:6967)¥5865.00¥11696.5149.9%
Andrada Mining (AIM:ATM)£0.0235£0.04749.8%
AK Medical Holdings (SEHK:1789)HK$4.28HK$8.5249.8%
Jiangsu Chuanzhiboke Education Technology (SZSE:003032)CN¥9.20CN¥18.3950%

Click here to see the full list of 878 stocks from our Undervalued Stocks Based On Cash Flows screener.

Underneath we present a selection of stocks filtered out by our screen.

China International Capital (SEHK:3908)

Overview: China International Capital Corporation Limited offers financial services both in Mainland China and internationally, with a market capitalization of HK$117.51 billion.

Operations: Revenue segments for China International Capital Corporation Limited include financial services provided both domestically and internationally.

Estimated Discount To Fair Value: 25%

China International Capital is trading at HK$12.26, significantly below its estimated fair value of HK$16.34, suggesting it may be undervalued based on cash flows. Despite a forecasted earnings growth of 24.9% per year, recent results show declining revenue and net income compared to the previous year. The resignation of a non-executive director won't affect board operations, maintaining stability amidst these financial challenges.

SEHK:3908 Discounted Cash Flow as at Jan 2025

Shanghai MicroPort EP MedTech (SHSE:688351)

Overview: Shanghai MicroPort EP MedTech Co., Ltd. specializes in the research, development, production, and sale of medical devices for electrophysiological interventional diagnosis and ablation therapy, with a market cap of CN¥8.19 billion.

Operations: The company generates revenue of CN¥383.99 million from its surgical and medical equipment segment, focusing on electrophysiological interventional diagnosis and ablation therapy.

Estimated Discount To Fair Value: 19.3%

Shanghai MicroPort EP MedTech trades at CN¥18.7, below its estimated fair value of CN¥23.18, indicating potential undervaluation based on cash flows. Earnings grew by 202.1% last year, with forecasts predicting significant annual growth of 54.3%. Recent regulatory approvals for the Magbot Catheter and Genesis RMN System bolster its product portfolio in China's electrophysiology market, potentially enhancing revenue streams despite low forecasted return on equity in three years (5.6%).

SHSE:688351 Discounted Cash Flow as at Jan 2025

Beijing Easpring Material TechnologyLTD (SZSE:300073)

Overview: Beijing Easpring Material Technology Co., Ltd. develops, produces, and sells lithium battery materials both in China and internationally, with a market cap of CN¥18.87 billion.

Operations: The company generates its revenue primarily from the development, production, and sale of lithium battery materials across domestic and international markets.

Estimated Discount To Fair Value: 36%

Beijing Easpring Material Technology trades at CN¥38.84, significantly below its estimated fair value of CN¥60.72, indicating potential undervaluation based on cash flows. Despite a sharp decline in recent earnings and revenue, forecasts suggest substantial annual profit growth of 25.9% and revenue growth of 28.1%, outpacing the Chinese market averages. However, the company's return on equity is expected to remain low at 7.2% in three years, with dividends not well covered by free cash flows.

SZSE:300073 Discounted Cash Flow as at Jan 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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