Undervalued Equities That May Offer Value In December 2025

Simply Wall St

As the U.S. stock market experiences a resurgence with major indexes posting gains, driven by a rally in tech stocks, investors are increasingly looking for opportunities that may be undervalued. In this environment of renewed risk appetite and shifting sector performances, identifying stocks that offer strong fundamentals at attractive valuations becomes crucial for those seeking potential value in their portfolios.

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

NameCurrent PriceFair Value (Est)Discount (Est)
Zymeworks (ZYME)$27.23$52.6648.3%
UMB Financial (UMBF)$118.95$233.9949.2%
Sportradar Group (SRAD)$22.86$45.2949.5%
SmartStop Self Storage REIT (SMA)$31.38$61.0148.6%
QXO (QXO)$21.80$43.2949.6%
Krystal Biotech (KRYS)$240.80$473.1849.1%
DexCom (DXCM)$66.06$127.1848.1%
Community West Bancshares (CWBC)$23.00$44.1147.9%
Columbia Banking System (COLB)$28.85$57.1349.5%
BioLife Solutions (BLFS)$25.07$49.9949.9%

Click here to see the full list of 209 stocks from our Undervalued US Stocks Based On Cash Flows screener.

We're going to check out a few of the best picks from our screener tool.

Array Technologies (ARRY)

Overview: Array Technologies, Inc. manufactures and sells solar tracking technology products across the United States, Spain, Brazil, Australia, and other international markets with a market cap of approximately $1.45 billion.

Operations: The company's revenue is derived from two main segments: STI Operations, contributing $273.03 million, and Array Legacy Operations, contributing $1.06 billion.

Estimated Discount To Fair Value: 23%

Array Technologies is trading at a 23% discount to its estimated fair value of US$12.33, with significant earnings growth expected at 58.63% annually. Despite revenue growth forecasts below the market average, the company reported substantial sales increases and a return to profitability in recent quarters, with net income reaching US$33.5 million for Q3 2025 compared to a loss last year. Its high forecasted return on equity further supports its undervaluation based on cash flows.

ARRY Discounted Cash Flow as at Dec 2025

AvePoint (AVPT)

Overview: AvePoint, Inc. offers a cloud-native data management software platform across various regions including North America, Europe, the Middle East, Africa, and the Asia Pacific with a market cap of $3.01 billion.

Operations: The company's revenue is primarily derived from its Software & Programming segment, which generated $393.99 million.

Estimated Discount To Fair Value: 18.5%

AvePoint is trading at US$13.94, below its estimated fair value of US$17.1, indicating potential undervaluation based on cash flows. The company's earnings are forecast to grow significantly at 70.9% annually, outpacing the broader market's growth rate. Recent product launches like AgentPulse enhance its AI governance capabilities amid rising security concerns and costs associated with AI agents. Despite past shareholder dilution, AvePoint's robust revenue growth and strategic partnerships underscore its potential for sustained financial performance improvement.

AVPT Discounted Cash Flow as at Dec 2025

BILL Holdings (BILL)

Overview: BILL Holdings, Inc. operates a financial operations platform catering to small and midsize businesses globally, with a market cap of approximately $5.61 billion.

Operations: The company's revenue is primarily derived from its Software & Programming segment, generating approximately $1.50 billion.

Estimated Discount To Fair Value: 39.3%

BILL Holdings is trading at US$55.98, significantly below its estimated fair value of US$92.28, highlighting potential undervaluation based on cash flows. Despite recent net losses, earnings are forecast to grow 55% annually over the next three years, surpassing market growth rates. Strategic partnerships and innovations like BILL AI enhance its position in the B2B financial automation sector. However, activist investors urge cost reductions and strategic alternatives due to prolonged share price underperformance and operational challenges.

BILL Discounted Cash Flow as at Dec 2025

Next Steps

Interested In Other Possibilities?

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.

Valuation is complex, but we're here to simplify it.

Discover if AvePoint might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

Access Free Analysis

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com