3 Stocks Estimated To Be Trading At Up To 31.8% Below Intrinsic Value

As the U.S. stock market reaches new record highs, buoyed by expectations of potential interest rate cuts and steady inflation data, investors are keenly observing opportunities that may still be undervalued despite the bullish trend. In this environment, identifying stocks trading below their intrinsic value can offer a strategic advantage, particularly when these equities have strong fundamentals and growth potential that align with current economic conditions.

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

Name	Current Price	Fair Value (Est)	Discount (Est)
Webull (BULL)	$13.60	$26.77	49.2%
Peapack-Gladstone Financial (PGC)	$29.46	$56.54	47.9%
Northwest Bancshares (NWBI)	$12.70	$24.41	48%
Niagen Bioscience (NAGE)	$9.62	$18.69	48.5%
NeuroPace (NPCE)	$10.01	$19.86	49.6%
McGraw Hill (MH)	$15.03	$28.70	47.6%
Investar Holding (ISTR)	$22.97	$45.08	49%
Horizon Bancorp (HBNC)	$16.43	$31.83	48.4%
AGNC Investment (AGNC)	$10.23	$20.30	49.6%
Advanced Flower Capital (AFCG)	$4.56	$8.76	48%

Click here to see the full list of 192 stocks from our Undervalued US Stocks Based On Cash Flows screener.

Let's uncover some gems from our specialized screener.

Li Auto (LI)

Overview: Li Auto Inc. operates in the energy vehicle market in the People's Republic of China with a market cap of approximately $24.18 billion.

Operations: The company generates revenue primarily from its Auto Manufacturers segment, amounting to CN¥143.32 billion.

Estimated Discount To Fair Value: 27.8%

Li Auto is trading at US$24.35, significantly below its estimated fair value of US$33.72, indicating it may be undervalued based on cash flows. Despite a forecasted earnings growth rate of 25.3% per year and revenue growth outpacing the US market, challenges include a low expected return on equity and recent delivery guidance reflecting decreased vehicle deliveries and revenue for Q3 2025. Recent product launches like the Li i6 SUV could bolster future performance amidst these headwinds.

• Insights from our recent growth report point to a promising forecast for Li Auto's business outlook.
• Delve into the full analysis health report here for a deeper understanding of Li Auto.

Sotera Health (SHC)

Overview: Sotera Health Company offers sterilization, lab testing, and advisory services for the healthcare industry across the United States, Canada, Europe, and internationally with a market cap of $4.47 billion.

Operations: The company's revenue segments include Nordion with $183.09 million, Nelson Labs generating $221.92 million, and Sterigenics contributing $719.53 million.

Estimated Discount To Fair Value: 31.8%

Sotera Health, trading at US$16.12, is currently below its estimated fair value of US$23.63, highlighting potential undervaluation based on cash flows. Despite slower revenue growth forecasts and significant insider selling recently, the company anticipates robust earnings growth of over 60% per year. Recent developments include a follow-on equity offering raising US$307 million and raised earnings guidance for 2025, although net profit margins have declined compared to last year.

• Our growth report here indicates Sotera Health may be poised for an improving outlook.
• Unlock comprehensive insights into our analysis of Sotera Health stock in this financial health report.

Willis Towers Watson (WTW)

Overview: Willis Towers Watson Public Limited Company operates globally as an advisory, broking, and solutions firm with a market cap of approximately $32.21 billion.

Operations: The company's revenue segments include Risk & Broking generating $4.16 billion and Health, Wealth & Career contributing $5.53 billion.

Estimated Discount To Fair Value: 11.4%

Willis Towers Watson, trading at US$340.45, is below its estimated fair value of US$384.08, suggesting potential undervaluation based on cash flows. Despite high debt levels and lower profit margins compared to last year, earnings are expected to grow significantly faster than the market at 48.5% per year over the next three years. Recent strategic hires and partnerships aim to enhance data capabilities and global reach, potentially supporting future financial performance improvements.

• Our comprehensive growth report raises the possibility that Willis Towers Watson is poised for substantial financial growth.
• Click here to discover the nuances of Willis Towers Watson with our detailed financial health report.

Seize The Opportunity

• Investigate our full lineup of 192 Undervalued US Stocks Based On Cash Flows right here.
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Want To Explore Some Alternatives?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.

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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