Stock Analysis

3 Stocks Estimated To Be 29.9% To 49.2% Below Intrinsic Value

NasdaqGS:LINC
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In the last week, the United States market has been flat, although over the past 12 months it has risen by 9.9%, with earnings forecasted to grow by 15% annually. In this environment, identifying stocks that are estimated to be significantly below their intrinsic value can offer potential opportunities for investors seeking to capitalize on undervaluation.

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

NameCurrent PriceFair Value (Est)Discount (Est)
TransMedics Group (TMDX)$124.00$247.5749.9%
StoneCo (STNE)$14.86$29.3249.3%
Shoals Technologies Group (SHLS)$5.225$10.3949.7%
Roku (ROKU)$81.43$160.4649.3%
Peoples Financial Services (PFIS)$47.14$93.6649.7%
MAC Copper (MTAL)$11.94$23.5349.3%
Lincoln Educational Services (LINC)$22.53$44.3849.2%
German American Bancorp (GABC)$36.80$72.9749.6%
Central Pacific Financial (CPF)$26.02$51.9950%
Arrow Financial (AROW)$24.93$49.7449.9%

Click here to see the full list of 170 stocks from our Undervalued US Stocks Based On Cash Flows screener.

Here we highlight a subset of our preferred stocks from the screener.

Lincoln Educational Services (LINC)

Overview: Lincoln Educational Services Corporation offers career-oriented postsecondary education services to high school graduates and working adults in the United States, with a market cap of $712.73 million.

Operations: The company's revenue primarily comes from its Campus Operations segment, which generated $449.15 million.

Estimated Discount To Fair Value: 49.2%

Lincoln Educational Services is trading at US$22.53, significantly below its estimated fair value of US$44.38, suggesting it may be undervalued based on cash flows. Despite recent insider selling, the company has raised its 2025 earnings guidance and reported improved Q1 results with net income of US$1.94 million compared to a loss last year. Earnings are forecast to grow significantly faster than the market at 39.1% annually over the next three years.

LINC Discounted Cash Flow as at Jun 2025
LINC Discounted Cash Flow as at Jun 2025

Archrock (AROC)

Overview: Archrock, Inc. operates as an energy infrastructure company in the United States with a market cap of $4.39 billion.

Operations: The company's revenue is primarily derived from Contract Operations at $1.06 billion and Aftermarket Services at $178.52 million.

Estimated Discount To Fair Value: 44.2%

Archrock, Inc. is trading at US$24.96, significantly below its estimated fair value of US$44.75, indicating potential undervaluation based on cash flows. The company has revised its 2025 earnings guidance upwards and reported strong Q1 results with a net income increase to US$70.85 million from the previous year. Despite high debt levels not fully covered by operating cash flow and significant insider selling recently, earnings are forecasted to grow at 22% annually over the next three years.

AROC Discounted Cash Flow as at Jun 2025
AROC Discounted Cash Flow as at Jun 2025

Coupang (CPNG)

Overview: Coupang, Inc. operates a retail business through mobile applications and internet websites in South Korea and internationally, with a market cap of approximately $51.29 billion.

Operations: The company's revenue is primarily derived from Product Commerce, which accounts for $27.08 billion, and Developing Offerings, contributing $3.99 billion.

Estimated Discount To Fair Value: 29.9%

Coupang, Inc. trades at US$28.4, below its fair value of US$40.52, suggesting it may be undervalued based on cash flows. The company reported Q1 revenue of US$7.91 billion and net income of US$107 million, showing strong earnings growth compared to last year. Despite recent insider selling and lower profit margins than the previous year, Coupang's earnings are expected to grow significantly over the next three years at 38.9% annually.

CPNG Discounted Cash Flow as at Jun 2025
CPNG Discounted Cash Flow as at Jun 2025

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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