Stock Analysis

3 Stocks Estimated To Be Trading At Discounts Ranging From 16.9% To 47.7%

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In a week marked by record highs for major indices like the Dow Jones Industrial Average and the S&P 500, global markets have shown resilience despite geopolitical tensions and tariff concerns. As investors navigate these robust market conditions, identifying undervalued stocks becomes crucial for those looking to capitalize on potential discounts amidst broader economic optimism.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
NBT Bancorp (NasdaqGS:NBTB)US$50.01US$99.9350%
BP Plastics Holding Bhd (KLSE:BPPLAS)MYR1.20MYR2.3949.7%
Round One (TSE:4680)¥1225.00¥2426.7849.5%
Bank BTPN Syariah (IDX:BTPS)IDR900.00IDR1786.7149.6%
Ramssol Group Berhad (KLSE:RAMSSOL)MYR0.70MYR1.3949.5%
Krsnaa Diagnostics (NSEI:KRSNAA)₹996.65₹1971.7449.5%
Iguatemi (BOVESPA:IGTI3)R$2.26R$4.4949.7%
Pluk Phak Praw Rak Mae (SET:OKJ)THB15.50THB30.8649.8%
Vivendi (ENXTPA:VIV)€8.448€16.7549.6%
AirBoss of America (TSX:BOS)CA$4.05CA$8.0549.7%

Click here to see the full list of 897 stocks from our Undervalued Stocks Based On Cash Flows screener.

We'll examine a selection from our screener results.

Grupo Traxión. de (BMV:TRAXION A)

Overview: Grupo Traxión, S.A.B. de C.V. is a mobility and logistics company operating in Mexico with a market cap of MX$9.97 billion.

Operations: The company's revenue is derived from three main segments: Cargo Transportation (MX$8.12 billion), Mobility of Personnel (MX$10.17 billion), and Logistics and Technology (MX$9.94 billion).

Estimated Discount To Fair Value: 47.7%

Grupo Traxión is trading significantly below its estimated fair value, presenting a potential opportunity for investors focused on cash flow valuation. Despite recent volatility and past shareholder dilution, the company's earnings are expected to grow at 24% annually over the next three years, outpacing the Mexican market. Recent earnings reports showed increased sales but lower net income compared to last year. Analysts agree on a substantial price increase potential, though interest payments remain a concern.

BMV:TRAXION A Discounted Cash Flow as at Dec 2024

Kunshan Huguang Auto HarnessLtd (SHSE:605333)

Overview: Kunshan Huguang Auto Harness Co., Ltd. specializes in the research, development, production, and sales of automotive high and low voltage wiring harness assemblies both in China and internationally, with a market cap of CN¥13.94 billion.

Operations: Kunshan Huguang Auto Harness Co., Ltd. generates revenue through its automotive high and low voltage wiring harness assembly products, serving both domestic and international markets.

Estimated Discount To Fair Value: 28.3%

Kunshan Huguang Auto Harness Ltd. is trading 28.3% below its estimated fair value, offering a potential opportunity for investors focused on cash flow valuation. The company reported significant revenue growth to CNY 5.53 billion and net income of CNY 438.42 million for the first nine months of 2024, reversing last year's losses. Despite high debt levels, expected annual earnings growth of 28.6% surpasses the Chinese market average, with strong projected returns on equity in three years.

SHSE:605333 Discounted Cash Flow as at Dec 2024

E Ink Holdings (TPEX:8069)

Overview: E Ink Holdings Inc. researches, develops, manufactures, and sells electronic paper display panels worldwide with a market cap of NT$322.86 billion.

Operations: The company's revenue primarily comes from its Electronic Components & Parts segment, which generated NT$28.32 billion.

Estimated Discount To Fair Value: 16.9%

E Ink Holdings is trading at NT$283.5, around 16.9% below its estimated fair value of NT$341.35, presenting a potential investment opportunity based on cash flow valuation. The company forecasts significant annual earnings growth of 39.7%, outpacing the Taiwan market average, with revenue expected to grow by 29.5% annually. Despite a decline in net income for Q3 2024 compared to the previous year, analysts predict a stock price rise of 24%.

TPEX:8069 Discounted Cash Flow as at Dec 2024

Summing It All Up

Interested In Other Possibilities?

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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