Stock Analysis

3 Stocks With Estimated Discounts Up To 30.7% Below Intrinsic Value

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In recent weeks, global markets have experienced fluctuations driven by political developments and economic indicators, with U.S. stocks giving back some gains amid uncertainty surrounding policy changes in the incoming Trump administration. As investors navigate these volatile conditions, identifying undervalued stocks—those trading below their intrinsic value—can present opportunities for potential growth despite broader market challenges.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Shandong Bailong Chuangyuan Bio-Tech (SHSE:605016)CN¥16.71CN¥33.1649.6%
Tibet Rhodiola Pharmaceutical Holding (SHSE:600211)CN¥38.49CN¥76.9350%
Taiwan Union Technology (TPEX:6274)NT$156.50NT$311.7049.8%
Wuhan Keqian BiologyLtd (SHSE:688526)CN¥14.57CN¥29.0949.9%
ConvaTec Group (LSE:CTEC)£2.43£4.8549.9%
TF Bank (OM:TFBANK)SEK312.00SEK621.0449.8%
AirBoss of America (TSX:BOS)CA$4.23CA$8.4049.6%
Saipem (BIT:SPM)€2.342€4.6549.6%
Intellian Technologies (KOSDAQ:A189300)₩44450.00₩88893.3150%
Nokian Renkaat Oyj (HLSE:TYRES)€7.408€14.7249.7%

Click here to see the full list of 935 stocks from our Undervalued Stocks Based On Cash Flows screener.

Below we spotlight a couple of our favorites from our exclusive screener.

Datalogic (BIT:DAL)

Overview: Datalogic S.p.A. manufactures and sells automatic data capture and process automation products globally, with a market cap of €278.43 million.

Operations: Datalogic's revenue segments include automatic data capture and process automation products sold globally.

Estimated Discount To Fair Value: 29.2%

Datalogic is trading at €5.19, significantly below its estimated fair value of €7.33, suggesting it is undervalued based on cash flows. Despite a decrease in sales from €403.37 million to €366.36 million for the nine months ending September 30, 2024, net income increased to €12.57 million from €10.75 million last year. Earnings are expected to grow significantly at 23.38% annually over the next three years, outpacing the Italian market's growth rate of 7.2%.

BIT:DAL Discounted Cash Flow as at Nov 2024

Thangamayil Jewellery (NSEI:THANGAMAYL)

Overview: Thangamayil Jewellery Limited operates a chain of retail jewelry stores in India and has a market cap of ₹54.19 billion.

Operations: The company's revenue is primarily derived from its Gold Jewellery, Diamond, and Silver Articles segment, amounting to ₹42.74 billion.

Estimated Discount To Fair Value: 21.4%

Thangamayil Jewellery, trading at ₹1974.9, is valued below its estimated fair value of ₹2511.35, indicating potential undervaluation based on cash flows. Despite a recent net loss of ₹174.4 million for Q2 2024 compared to a profit last year, revenue increased to ₹11,810.5 million from ₹9,934.4 million year-on-year. The company's earnings are expected to grow significantly at 42.7% annually over the next three years, surpassing the Indian market growth rate of 18.1%.

NSEI:THANGAMAYL Discounted Cash Flow as at Nov 2024

Almawarid Manpower (SASE:1833)

Overview: Almawarid Manpower Company offers professional manpower services to individuals and businesses in the Kingdom of Saudi Arabia, with a market cap of SAR1.62 billion.

Operations: The company's revenue segments consist of SAR154.09 million from the Hourly Segment, SAR1.19 billion from the Corporate Segment, and SAR255.28 million from the Individual Segment.

Estimated Discount To Fair Value: 30.7%

Almawarid Manpower, trading at SAR 108, is priced below its estimated fair value of SAR 155.81, suggesting potential undervaluation based on cash flows. Despite a decrease in net income to SAR 17.1 million for Q3 2024 from SAR 22.93 million last year, sales increased to SAR 468.03 million from SAR 320.07 million year-on-year. Earnings are projected to grow annually by 17.5%, outpacing the South African market's growth rate of 6.6%.

SASE:1833 Discounted Cash Flow as at Nov 2024

Where To Now?

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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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