Discover Intellian Technologies And 2 More KRX Stocks That Might Be Trading Below Fair Value

The South Korean market has climbed 1.5% in the last 7 days but has remained flat overall in the past year, with earnings forecasted to grow by 29% annually. In this context, identifying undervalued stocks can be crucial for investors looking to capitalize on potential growth opportunities; Intellian Technologies and two other KRX stocks may currently be trading below their fair value.

Top 10 Undervalued Stocks Based On Cash Flows In South Korea

Name	Current Price	Fair Value (Est)	Discount (Est)
APR (KOSE:A278470)	₩294500.00	₩519585.37	43.3%
T'Way Air (KOSE:A091810)	₩2985.00	₩5720.50	47.8%
Cosmecca Korea (KOSDAQ:A241710)	₩87500.00	₩152268.21	42.5%
Lutronic (KOSDAQ:A085370)	₩36700.00	₩63217.94	41.9%
Intellian Technologies (KOSDAQ:A189300)	₩49600.00	₩90889.36	45.4%
Shinsung E&GLtd (KOSE:A011930)	₩1640.00	₩2974.89	44.9%
Global Tax Free (KOSDAQ:A204620)	₩3630.00	₩6407.94	43.4%
Hotel ShillaLtd (KOSE:A008770)	₩45500.00	₩81791.59	44.4%
Hd Hyundai MipoLtd (KOSE:A010620)	₩102100.00	₩170872.42	40.2%
Kakao Games (KOSDAQ:A293490)	₩17220.00	₩29748.19	42.1%

Click here to see the full list of 33 stocks from our Undervalued KRX Stocks Based On Cash Flows screener.

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

Intellian Technologies (KOSDAQ:A189300)

Overview: Intellian Technologies, Inc. provides satellite antennas and terminals in South Korea and internationally, with a market cap of ₩518.23 billion.

Operations: Intellian Technologies generates revenue primarily from telecommunication equipment sales, amounting to ₩271.45 billion.

Estimated Discount To Fair Value: 45.4%

Intellian Technologies (₩49,600) is trading significantly below its estimated fair value of ₩90,889.36 and analysts agree the stock price will rise by 50%. Its revenue is forecast to grow at 33.4% per year, outpacing the South Korean market's growth rate of 10.3%. Despite a low forecasted Return on Equity of 14.8% in three years, the company is expected to become profitable within this period. Recent buybacks totaling ₩4,992.97 million underscore management's confidence in undervaluation.

• According our earnings growth report, there's an indication that Intellian Technologies might be ready to expand.
• Dive into the specifics of Intellian Technologies here with our thorough financial health report.

SK hynix (KOSE:A000660)

Overview: SK hynix Inc., with a market cap of ₩112.11 trillion, manufactures, distributes, and sells semiconductor products across Korea, China, the rest of Asia, the United States, and Europe.

Operations: The company's revenue primarily comes from the manufacture and sale of semiconductor products, amounting to ₩49.22 billion.

Estimated Discount To Fair Value: 20.2%

SK hynix (₩162,800) is trading 20.2% below its estimated fair value of ₩204,076.67 and has recently turned profitable with a net income of ₩4.12 trillion for Q2 2024, compared to a loss last year. Earnings are forecast to grow significantly at 49.34% per year, outpacing the South Korean market's growth rate of 29.1%. The company's revenue is also expected to grow faster than the market at 22.4% annually, driven by advancements in AI memory products and strong performance in new product lines like GDDR7 graphics memory and SSD solutions for AI PCs.

• Our comprehensive growth report raises the possibility that SK hynix is poised for substantial financial growth.
• Click to explore a detailed breakdown of our findings in SK hynix's balance sheet health report.

HYBE (KOSE:A352820)

Overview: HYBE Co., Ltd. operates in music production, publishing, and artist development and management with a market cap of ₩6.83 trillion.

Operations: HYBE Co., Ltd.'s revenue segments include Label (₩1.28 trillion), Platform (₩361.12 million), and Solution (₩1.24 trillion).

Estimated Discount To Fair Value: 29.6%

HYBE Co., Ltd. (₩164,000) is trading 29.6% below its fair value estimate of ₩233,071.19 and is considered highly undervalued based on discounted cash flow analysis. Despite recent earnings declines due to one-off items, the company's earnings are forecast to grow significantly at 42.47% annually over the next three years, outpacing the South Korean market's growth rate of 29.1%. Additionally, HYBE has announced a share repurchase program aimed at stabilizing stock prices by September 27, 2024.

• Our earnings growth report unveils the potential for significant increases in HYBE's future results.
• Navigate through the intricacies of HYBE with our comprehensive financial health report here.

Make It Happen

• Embark on your investment journey to our 33 Undervalued KRX Stocks Based On Cash Flows selection here.
• Are any of these part of your asset mix? Tap into the analytical power of Simply Wall St's portfolio to get a 360-degree view on how they're shaping up.
• Streamline your investment strategy with Simply Wall St's app for free and benefit from extensive research on stocks across all corners of the world.

Curious About Other Options?

• 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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