Stock Analysis

November 2024 Stocks Estimated To Be Trading Below Their Intrinsic Value

TPEX:8069
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As global markets navigate the challenges of rising U.S. Treasury yields and tepid economic growth, investors are increasingly focused on identifying stocks that may be trading below their intrinsic value. In this environment, a good stock is often characterized by strong fundamentals and resilience against macroeconomic pressures, offering potential opportunities for those looking to capitalize on market inefficiencies.

Top 10 Undervalued Stocks Based On Cash Flows

NameCurrent PriceFair Value (Est)Discount (Est)
Beyout Investment Group Holding Company - K.S.C. (Holding) (KWSE:BEYOUT)KWD0.395KWD0.7949.9%
Acerinox (BME:ACX)€8.52€16.9849.8%
Enento Group Oyj (HLSE:ENENTO)€18.40€36.5749.7%
North Electro-OpticLtd (SHSE:600184)CN¥11.52CN¥22.8949.7%
WEX (NYSE:WEX)US$172.60US$343.9849.8%
Semiconductor Manufacturing International (SEHK:981)HK$27.05HK$53.7849.7%
SBI Sumishin Net Bank (TSE:7163)¥2706.00¥5411.1850%
Energy One (ASX:EOL)A$5.53A$11.0650%
Fine Foods & Pharmaceuticals N.T.M (BIT:FF)€8.36€16.7049.9%
Sinch (OM:SINCH)SEK31.45SEK62.4849.7%

Click here to see the full list of 958 stocks from our Undervalued Stocks Based On Cash Flows screener.

Let's explore several standout options from the results in the screener.

MLP Saglik Hizmetleri (IBSE:MPARK)

Overview: MLP Saglik Hizmetleri A.S. operates healthcare services in Turkey, Azerbaijan, and Hungary with a market cap of TRY65.04 billion.

Operations: The company generates revenue from its Healthcare Facilities & Services segment, totaling TRY25.77 billion.

Estimated Discount To Fair Value: 17.6%

MLP Saglik Hizmetleri is trading at TRY340.5, below its estimated fair value of TRY413.11, indicating potential undervaluation based on cash flows. The company's revenue is forecast to grow significantly at 30.6% annually, outpacing the TR market's 24.7%. Despite slower earnings growth compared to the market, its return on equity is expected to reach a high of 26% in three years. Recent reports show increased sales but slightly lower quarterly net income year-over-year.

IBSE:MPARK Discounted Cash Flow as at Nov 2024
IBSE:MPARK Discounted Cash Flow as at Nov 2024

Beijing LeiKe Defense Technology (SZSE:002413)

Overview: Beijing LeiKe Defense Technology Co., Ltd. operates in the defense technology sector and has a market capitalization of CN¥6.38 billion.

Operations: The company's revenue is primarily derived from its Computer, Communications, and Other Electronic Equipment Manufacturing segment, which generated CN¥1.18 billion.

Estimated Discount To Fair Value: 45.3%

Beijing LeiKe Defense Technology is trading at CN¥5.14, significantly below its estimated fair value of CN¥9.39. Despite recent losses, with a net loss of CNY 134.45 million for the nine months ended September 2024, the company is expected to achieve profitability within three years and has a forecasted revenue growth rate of 21.9% annually, surpassing the Chinese market's average growth rate of 13.9%.

SZSE:002413 Discounted Cash Flow as at Nov 2024
SZSE:002413 Discounted Cash Flow as at Nov 2024

E Ink Holdings (TPEX:8069)

Overview: E Ink Holdings Inc. researches, develops, manufactures, and sells electronic paper display panels globally, with a market cap of NT$350.34 billion.

Operations: The company generates revenue primarily from its Electronic Components & Parts segment, amounting to NT$25.95 billion.

Estimated Discount To Fair Value: 20.2%

E Ink Holdings is trading at NT$306, over 20% below its estimated fair value of NT$383.25, suggesting potential undervaluation based on cash flows. Despite a dip in recent earnings, with a net income of TWD 3.34 billion for the first half of 2024 compared to TWD 4.18 billion last year, the company's earnings and revenue are forecasted to grow significantly above market averages. Recent investments in production facilities and securing a TWD 12 billion syndicated loan highlight strategic growth initiatives.

TPEX:8069 Discounted Cash Flow as at Nov 2024
TPEX:8069 Discounted Cash Flow as at Nov 2024

Key Takeaways

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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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