Stock Analysis

3 Stocks Estimated To Be Trading At A Discount Of Up To 49.9%

NYSE:BC
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As the U.S. stock market faces a downturn with major indices like the Dow Jones and S&P 500 experiencing notable declines, investors are grappling with concerns over tariffs and economic uncertainty. In such volatile conditions, identifying stocks that may be undervalued can present opportunities for those looking to invest at a discount; these stocks often have solid fundamentals that might not yet be fully recognized by the market.

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

NameCurrent PriceFair Value (Est)Discount (Est)
WesBanco (NasdaqGS:WSBC)$30.56$60.7649.7%
International Paper (NYSE:IP)$49.38$98.6349.9%
German American Bancorp (NasdaqGS:GABC)$37.81$75.3849.8%
Brunswick (NYSE:BC)$57.44$114.5449.9%
Afya (NasdaqGS:AFYA)$15.89$31.6249.7%
Midland States Bancorp (NasdaqGS:MSBI)$18.23$35.7749%
Coastal Financial (NasdaqGS:CCB)$82.49$162.8749.4%
Sotera Health (NasdaqGS:SHC)$11.38$22.3249%
Grindr (NYSE:GRND)$16.31$31.9148.9%
First Advantage (NasdaqGS:FA)$13.00$25.3548.7%

Click here to see the full list of 189 stocks from our Undervalued US Stocks Based On Cash Flows screener.

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

Brunswick (NYSE:BC)

Overview: Brunswick Corporation designs, manufactures, and markets recreation products globally, with a market cap of approximately $3.86 billion.

Operations: Brunswick's revenue segments include Boat at $1.55 billion, Propulsion at $2.07 billion, Navico Group at $800.20 million, and Engine Parts & Accessories at $1.16 billion.

Estimated Discount To Fair Value: 49.9%

Brunswick is trading at US$57.44, significantly below its estimated fair value of US$114.54, indicating potential undervaluation based on discounted cash flow analysis. Despite recent insider selling and a decline in profit margins from 6.8% to 2.9%, the company forecasts strong earnings growth of 25.4% annually over the next three years, outpacing the broader U.S. market's expected growth rate of 13.8%.

NYSE:BC Discounted Cash Flow as at Mar 2025
NYSE:BC Discounted Cash Flow as at Mar 2025

Blend Labs (NYSE:BLND)

Overview: Blend Labs, Inc. provides a cloud-based software platform for financial services firms in the United States and has a market cap of approximately $823.57 million.

Operations: The company's revenue segments include $46.26 million from Title services and $115.76 million from the Blend Platform, both in millions of dollars.

Estimated Discount To Fair Value: 42.3%

Blend Labs is trading at US$3.32, substantially below its estimated fair value of US$5.76, highlighting potential undervaluation based on discounted cash flow analysis. The company reported a reduced net loss and improved revenue in the latest earnings release. Strategic partnerships with Talk’uments and Truework enhance Blend's mortgage technology suite and verification capabilities, potentially boosting operational efficiency and borrower satisfaction. Revenue is projected to grow 17.1% annually, surpassing the U.S. market average growth rate.

NYSE:BLND Discounted Cash Flow as at Mar 2025
NYSE:BLND Discounted Cash Flow as at Mar 2025

Modine Manufacturing (NYSE:MOD)

Overview: Modine Manufacturing Company offers thermal management products and solutions across the United States, Italy, Hungary, China, the United Kingdom, and internationally with a market cap of approximately $4.06 billion.

Operations: Modine Manufacturing's revenue is primarily derived from its Climate Solutions segment, generating $1.31 billion, and Performance Technologies segment, contributing $1.26 billion.

Estimated Discount To Fair Value: 36.4%

Modine Manufacturing is trading at US$80.07, significantly below its estimated fair value of US$125.88, suggesting undervaluation based on discounted cash flow analysis. Despite recent volatility and insider selling, Modine's earnings are forecast to grow 30.2% annually, outpacing the U.S. market average growth rate of 13.8%. Recent buyback announcements and substantial data center cooling orders underscore strategic initiatives aimed at enhancing shareholder value and leveraging growth in AI infrastructure demand.

NYSE:MOD Discounted Cash Flow as at Mar 2025
NYSE:MOD Discounted Cash Flow as at Mar 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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