US Stocks Potentially Priced Below Estimated Value In November 2024

As the United States stock market experiences a significant surge, led by a rally in the tech sector, investors are eagerly anticipating the results of the presidential election and potential changes in interest rates. In this environment of heightened activity and uncertainty, identifying stocks that may be undervalued can present unique opportunities for investors seeking to capitalize on discrepancies between market price and intrinsic value.

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

Name	Current Price	Fair Value (Est)	Discount (Est)
First National (NasdaqCM:FXNC)	$21.37	$42.26	49.4%
Western Alliance Bancorporation (NYSE:WAL)	$84.63	$168.45	49.8%
Coupang (NYSE:CPNG)	$26.89	$53.38	49.6%
Bank of Marin Bancorp (NasdaqCM:BMRC)	$22.49	$44.47	49.4%
Range Resources (NYSE:RRC)	$30.78	$60.26	48.9%
HealthEquity (NasdaqGS:HQY)	$89.23	$175.93	49.3%
Alaska Air Group (NYSE:ALK)	$48.56	$96.53	49.7%
WEX (NYSE:WEX)	$173.51	$341.87	49.2%
Freshpet (NasdaqGM:FRPT)	$151.59	$297.18	49%
Cytek Biosciences (NasdaqGS:CTKB)	$5.44	$10.66	49%

Click here to see the full list of 203 stocks from our Undervalued US Stocks Based On Cash Flows screener.

Let's take a closer look at a couple of our picks from the screened companies.

CoStar Group (NasdaqGS:CSGP)

Overview: CoStar Group, Inc. offers information, analytics, and online marketplace services to various sectors including commercial real estate and hospitality across multiple regions globally, with a market cap of approximately $30.27 billion.

Operations: The company's revenue segment, Internet Information Providers, generated approximately $2.67 billion.

Estimated Discount To Fair Value: 25%

CoStar Group is trading at 25% below its estimated fair value, suggesting it may be undervalued based on cash flows. Despite a decrease in profit margins from 16.9% to 6.6%, earnings are forecasted to grow significantly at over 42% annually, outpacing the broader U.S. market's growth expectations. Recent strategic moves, including a $48 million deal with Gartner and expansion into Canada with Cushman & Wakefield, underscore its growth potential amidst insider selling concerns.

• Our expertly prepared growth report on CoStar Group implies its future financial outlook may be stronger than recent results.
• Unlock comprehensive insights into our analysis of CoStar Group stock in this financial health report.

Micron Technology (NasdaqGS:MU)

Overview: Micron Technology, Inc. is a company that designs, develops, manufactures, and sells memory and storage products globally, with a market cap of approximately $116.96 billion.

Operations: The company's revenue segments consist of the Mobile Business Unit ($6.35 billion), Storage Business Unit ($4.59 billion), Embedded Business Unit ($4.61 billion), and Compute and Networking Business Unit ($9.51 billion).

Estimated Discount To Fair Value: 29.3%

Micron Technology's stock is trading at US$105.49, significantly below its estimated fair value of US$149.29, highlighting potential undervaluation based on cash flows. The company has returned to profitability with a net income of US$778 million for the year and forecasts earnings growth of over 31% annually, outpacing market averages. Despite substantial insider selling recently, Micron's innovative DDR5 memory products and robust revenue growth bolster its investment appeal amidst leadership changes.

• The analysis detailed in our Micron Technology growth report hints at robust future financial performance.
• Navigate through the intricacies of Micron Technology with our comprehensive financial health report here.

Coupang (NYSE:CPNG)

Overview: Coupang, Inc. operates a retail business through mobile applications and Internet websites primarily in South Korea with a market capitalization of approximately $46.10 billion.

Operations: Coupang's revenue segments consist of Product Commerce, generating $25.18 billion, and Developing Offerings, contributing $2.00 billion.

Estimated Discount To Fair Value: 49.6%

Coupang's stock, at US$26.89, is significantly undervalued compared to its estimated fair value of US$53.38. Despite insider selling, the company shows strong potential with earnings growth forecasted at 28.1% annually—surpassing the broader US market's expectations—and a high return on equity projected at 21.8%. Recent revenue growth and profitability challenges reflect mixed performance; however, Coupang's valuation based on cash flows presents an intriguing opportunity for investors focused on long-term growth potential.

• Upon reviewing our latest growth report, Coupang's projected financial performance appears quite optimistic.
• Take a closer look at Coupang's balance sheet health here in our report.

Next Steps

• Click this link to deep-dive into the 203 companies within our Undervalued US Stocks Based On Cash Flows screener.
• Have you diversified into these companies? Leverage the power of Simply Wall St's portfolio to keep a close eye on market movements affecting your investments.
• Take control of your financial future using Simply Wall St, offering free, in-depth knowledge of international markets to every investor.

Curious About Other Options?

• 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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