Stock Analysis

Three Stocks That Might Be Undervalued According To Current Market Analysis

Published

As global markets react to recent political shifts and economic policy changes, investors are keenly observing the implications of a "red sweep" in the U.S., which has driven major indices like the S&P 500 to record highs. Amidst this environment, identifying potentially undervalued stocks becomes crucial as investors look for opportunities that may benefit from anticipated regulatory and tax reforms.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
goeasy (TSX:GSY)CA$178.25CA$354.0749.7%
KMC (Kuei Meng) International (TWSE:5306)NT$125.00NT$248.2449.6%
Aidma Holdings (TSE:7373)¥1698.00¥3388.6449.9%
Adventure (TSE:6030)¥3590.00¥7109.4949.5%
North Electro-OpticLtd (SHSE:600184)CN¥11.35CN¥22.5649.7%
Laboratorio Reig Jofre (BME:RJF)€2.87€5.7450%
Medios (XTRA:ILM1)€14.76€29.4849.9%
BuySell TechnologiesLtd (TSE:7685)¥3925.00¥7814.8449.8%
Delixi New Energy Technology (SHSE:603032)CN¥17.95CN¥35.7849.8%
Cellnex Telecom (BME:CLNX)€32.47€64.6849.8%

Click here to see the full list of 890 stocks from our Undervalued Stocks Based On Cash Flows screener.

Let's uncover some gems from our specialized screener.

Genomma Lab Internacional. de (BMV:LAB B)

Overview: Genomma Lab Internacional, S.A.B. de C.V. operates in the pharmaceutical and personal care sectors primarily across Latin America, with a market capitalization of MX$25.68 billion.

Operations: The company generates revenue of MX$17.47 billion from its pharmaceutical and personal care product offerings primarily in Latin America.

Estimated Discount To Fair Value: 19.1%

Genomma Lab Internacional's Q3 2024 earnings showed strong performance with sales reaching MX$5.09 billion, up from MX$4.39 billion a year ago, and net income increasing to MX$660.06 million from MX$370.67 million. The company is trading at a 19.1% discount to its estimated fair value of MX$33.99 per share, supported by forecasted annual profit growth of 20%, outpacing the broader Mexican market's expected growth rate of 11.3%.

BMV:LAB B Discounted Cash Flow as at Nov 2024

baudroieinc (TSE:4413)

Overview: Baudroie, Inc. offers optimal IT solutions in Japan and has a market capitalization of ¥74.39 billion.

Operations: Revenue Segments (in millions of ¥):

Estimated Discount To Fair Value: 13.4%

Baudroie Inc. is trading at ¥4,645, about 13.4% below its estimated fair value of ¥5,361.52, suggesting it may be undervalued based on cash flows. Despite high share price volatility recently, the company shows robust growth potential with forecasted revenue and earnings growth rates of 30.1% and 28.38% per year respectively—both surpassing market averages in Japan—and has been added to the S&P Global BMI Index recently.

TSE:4413 Discounted Cash Flow as at Nov 2024

Global PMX (TWSE:4551)

Overview: Global PMX Co., Ltd. specializes in the manufacturing, processing, and sale of precision metal components for automotive products, hard disk drives, medical equipment, and various industrial products across key markets including the United States, China, Germany, France, Italy, and Japan with a market cap of NT$15.79 billion.

Operations: The company's revenue from metal processors and fabrication amounts to NT$6.91 billion.

Estimated Discount To Fair Value: 27.7%

Global PMX is trading at NT$137, over 27% below its estimated fair value of NT$189.51, highlighting potential undervaluation based on cash flows. Despite recent share price volatility and a lower profit margin compared to last year, the company reported increased sales and net income for Q3 2024. With earnings forecasted to grow significantly at 30.25% annually—outpacing the Taiwan market—this positions Global PMX as an intriguing prospect for investors focused on cash flow valuation.

TWSE:4551 Discounted Cash Flow as at Nov 2024

Key Takeaways

  • Reveal the 890 hidden gems among our Undervalued Stocks Based On Cash Flows screener with a single click 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.
  • 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.

Looking For Alternative Opportunities?

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.

New: Manage All Your Stock Portfolios in One Place

We've created the ultimate portfolio companion for stock investors, and it's free.

• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks

Try a Demo Portfolio for Free

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com