3 Companies Including TransMedics Group That May Be Trading Below Estimated Value

Simply Wall St

As the U.S. stock market experiences a mixed performance, with major indices like the Dow Jones and S&P 500 mostly rising while technology shares face pressure, investors are keenly observing opportunities amidst fluctuating economic indicators such as retail sales and consumer confidence. In this environment, identifying undervalued stocks can be crucial for those looking to capitalize on potential market inefficiencies, with companies like TransMedics Group offering intriguing possibilities for consideration.

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

NameCurrent PriceFair Value (Est)Discount (Est)
WEBTOON Entertainment (WBTN)$14.28$28.2249.4%
Sotera Health (SHC)$16.78$33.2949.6%
Peraso (PRSO)$0.8763$1.7248.9%
Nicolet Bankshares (NIC)$122.61$242.1749.4%
Huntington Bancshares (HBAN)$15.91$31.3549.3%
Freshworks (FRSH)$12.06$23.9849.7%
First Busey (BUSE)$23.21$45.3448.8%
Fifth Third Bancorp (FITB)$42.33$83.6849.4%
Elastic (ESTC)$69.07$135.3249%
Crocs (CROX)$80.33$157.1548.9%

Click here to see the full list of 211 stocks from our Undervalued US Stocks Based On Cash Flows screener.

Let's dive into some prime choices out of the screener.

TransMedics Group (TMDX)

Overview: TransMedics Group, Inc. is a commercial-stage medical technology company focused on transforming organ transplant therapy for end-stage organ failure patients globally, with a market cap of approximately $4.47 billion.

Operations: The company generates its revenue primarily from the Surgical & Medical Equipment segment, which amounted to $566.35 million.

Estimated Discount To Fair Value: 39.2%

TransMedics Group is trading at US$140.21, significantly below its estimated fair value of US$230.71, indicating it may be undervalued based on cash flows. The company reported strong earnings growth with net income rising to US$24.32 million in Q3 2025 from US$4.22 million a year prior, and raised its full-year revenue guidance to between US$595 million and US$605 million, reflecting robust financial performance despite slower forecasted revenue growth compared to historical rates.

TMDX Discounted Cash Flow as at Nov 2025

Fifth Third Bancorp (FITB)

Overview: Fifth Third Bancorp is the bank holding company for Fifth Third Bank, National Association, offering a variety of financial products and services across the United States, with a market cap of $28.04 billion.

Operations: The company's revenue segments include Commercial Banking at $3.37 billion, Wealth and Asset Management at $633 million, and Consumer and Small Business Banking at $4.84 billion.

Estimated Discount To Fair Value: 49.4%

Fifth Third Bancorp, trading at US$42.33, is significantly below its estimated fair value of US$83.68, highlighting potential undervaluation based on cash flows. The company's earnings and revenue are forecast to grow faster than the US market over the next three years. Recent Q3 2025 results showed net income rising to US$649 million from US$573 million a year ago. However, challenges include a recent impairment charge due to alleged external fraud affecting financials by up to US$200 million.

FITB Discounted Cash Flow as at Nov 2025

Comfort Systems USA (FIX)

Overview: Comfort Systems USA, Inc. offers mechanical and electrical installation, renovation, maintenance, repair, and replacement services in the United States with a market cap of $31.47 billion.

Operations: The company's revenue is derived from two primary segments: Electrical Services, contributing $2.02 billion, and Mechanical Services, generating $6.30 billion.

Estimated Discount To Fair Value: 36.3%

Comfort Systems USA is trading at US$945.07, significantly below its estimated fair value of US$1,483.09, underscoring potential undervaluation based on cash flows. The company's earnings and revenue are projected to grow faster than the US market. Recent Q3 2025 results revealed a substantial increase in net income to US$291.62 million from US$146.24 million a year ago, despite insider selling in the past three months and modest buyback activity.

FIX Discounted Cash Flow as at Nov 2025

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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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