Stock Analysis

3 US Stocks Estimated To Be Trading At Discounts Up To 49.1%

NasdaqGS:RGEN
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As the U.S. stock market reaches new heights, with the Dow Jones Industrial Average closing at a record high and major indices posting weekly gains, investors are increasingly on the lookout for opportunities that may be trading below their intrinsic value. In this environment of rising markets and economic optimism, identifying undervalued stocks can offer potential entry points for those seeking to capitalize on discrepancies between current prices and perceived true worth.

Top 10 Undervalued Stocks Based On Cash Flows In The United States

NameCurrent PriceFair Value (Est)Discount (Est)
NBT Bancorp (NasdaqGS:NBTB)$50.45$99.9349.5%
UMB Financial (NasdaqGS:UMBF)$125.00$243.1948.6%
Business First Bancshares (NasdaqGS:BFST)$28.38$54.9148.3%
West Bancorporation (NasdaqGS:WTBA)$24.28$46.8548.2%
Five Star Bancorp (NasdaqGS:FSBC)$33.39$63.9147.8%
Pinterest (NYSE:PINS)$30.02$59.5149.6%
Advanced Energy Industries (NasdaqGS:AEIS)$115.19$219.3547.5%
South Atlantic Bancshares (OTCPK:SABK)$15.35$30.2749.3%
Nutanix (NasdaqGS:NTNX)$73.18$143.8049.1%
Snap (NYSE:SNAP)$11.42$22.7249.7%

Click here to see the full list of 186 stocks from our Undervalued US Stocks Based On Cash Flows screener.

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

Nutanix (NasdaqGS:NTNX)

Overview: Nutanix, Inc. offers an enterprise cloud platform across various global regions and has a market cap of approximately $19.60 billion.

Operations: The company's revenue segment is primarily from Internet Software & Services, generating $2.15 billion.

Estimated Discount To Fair Value: 49.1%

Nutanix, trading at US$73.18, appears undervalued with a fair value estimate of US$143.8 based on discounted cash flow analysis. Despite negative equity and past shareholder dilution, its projected revenue growth of 13% annually surpasses the broader U.S. market's 8.9%. Recent initiatives like Nutanix Enterprise AI enhance its cloud-native offerings and strategic collaboration with AWS could boost operational efficiency and return on investment for customers transitioning to hybrid cloud solutions.

NasdaqGS:NTNX Discounted Cash Flow as at Nov 2024
NasdaqGS:NTNX Discounted Cash Flow as at Nov 2024

Repligen (NasdaqGS:RGEN)

Overview: Repligen Corporation develops and commercializes bioprocessing technologies and systems for biological drug manufacturing across North America, Europe, the Asia Pacific, and internationally, with a market cap of approximately $7.99 billion.

Operations: The company's revenue segment includes Medical Products, generating approximately $633.51 million.

Estimated Discount To Fair Value: 24.2%

Repligen, trading at US$142.58, is significantly undervalued with a fair value estimate of US$188.07 based on discounted cash flow analysis. Despite recent earnings challenges and insider selling, its expected annual profit growth exceeds market averages as it aims for profitability within three years. The company continues to seek bolt-on acquisitions to enhance its portfolio, although revenue growth projections of 12.9% annually are below the 20% benchmark yet above the U.S. market average.

NasdaqGS:RGEN Discounted Cash Flow as at Nov 2024
NasdaqGS:RGEN Discounted Cash Flow as at Nov 2024

Truist Financial (NYSE:TFC)

Overview: Truist Financial Corporation is a financial services company offering banking and trust services in the Southeastern and Mid-Atlantic United States, with a market cap of approximately $63.67 billion.

Operations: The company's revenue segments include Segment Adjustment at $24.37 million and Treasury & Corporate (Ot&C) at -$9.87 million.

Estimated Discount To Fair Value: 27.3%

Truist Financial, priced at US$47.96, is undervalued with a fair value estimate of US$65.93 according to discounted cash flow analysis. Despite a forecasted low return on equity of 9.2% in three years and revenue growth projections of 11.9% annually, which are below the 20% benchmark but above the U.S. market average, Truist's earnings are expected to grow significantly at 57.49% per year, supporting its undervaluation status based on cash flows.

NYSE:TFC Discounted Cash Flow as at Nov 2024
NYSE:TFC Discounted Cash Flow as at Nov 2024

Next Steps

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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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