3 Stocks That May Be Undervalued This September 2024

As global markets grapple with a weakening U.S. labor market and economic slowdown concerns, the S&P 500 Index recently experienced its steepest weekly drop in 18 months. Amidst this volatility, investors are increasingly on the lookout for undervalued stocks that may present opportunities for growth. In such uncertain times, identifying stocks with strong fundamentals and resilient business models can be crucial for navigating market turbulence. Here are three stocks that may be undervalued this September 2024.

Top 10 Undervalued Stocks Based On Cash Flows

Name	Current Price	Fair Value (Est)	Discount (Est)
Integrated Diagnostics Holdings (LSE:IDHC)	US$0.368	US$0.73	49.7%
NSE (ENXTPA:ALNSE)	€29.30	€58.32	49.8%
Banca Sistema (BIT:BST)	€1.438	€2.87	50%
HMC Capital (ASX:HMC)	A$7.92	A$15.80	49.9%
HSS Engineers Berhad (KLSE:HSSEB)	MYR1.09	MYR2.17	49.7%
CIRCULATIONLtd (TSE:7379)	¥645.00	¥1283.52	49.7%
SHIFT (TSE:3697)	¥11765.00	¥23363.64	49.6%
WEX (NYSE:WEX)	US$192.53	US$384.18	49.9%
Zillow Group (NasdaqGS:ZG)	US$52.47	US$104.70	49.9%
Weimob (SEHK:2013)	HK$1.28	HK$2.55	49.8%

Click here to see the full list of 964 stocks from our Undervalued Stocks Based On Cash Flows screener.

Let's explore several standout options from the results in the screener.

Advanced Micro Devices (NasdaqGS:AMD)

Overview: Advanced Micro Devices, Inc. operates as a semiconductor company worldwide with a market cap of $223.59 billion.

Operations: The company's revenue segments include Client ($5.77 billion), Gaming ($4.44 billion), Embedded ($4.01 billion), and Data Center ($9.05 billion).

Estimated Discount To Fair Value: 40.6%

Advanced Micro Devices (AMD) is trading at US$138.15, significantly below its estimated fair value of US$232.41, indicating it may be undervalued based on cash flows. Recent earnings reports show robust growth, with Q2 2024 net income rising to US$265 million from US$27 million a year ago. Analysts forecast AMD's earnings to grow at 39.8% annually over the next three years, outpacing the broader market's expected growth rate of 15%.

• Upon reviewing our latest growth report, Advanced Micro Devices' projected financial performance appears quite optimistic.
• Click here and access our complete balance sheet health report to understand the dynamics of Advanced Micro Devices.

Palantir Technologies (NYSE:PLTR)

Overview: Palantir Technologies Inc. develops and implements software platforms for intelligence and counterterrorism operations globally, with a market cap of $77.49 billion.

Operations: Palantir's revenue segments include $1.14 billion from commercial operations and $1.34 billion from government contracts.

Estimated Discount To Fair Value: 33.6%

Palantir Technologies is trading at US$34.60, significantly below its estimated fair value of US$52.08, suggesting it is undervalued based on cash flows. The company has recently become profitable and forecasts earnings growth of 22.5% per year, outpacing the broader market's 15%. Recent partnerships with Sompo, Surf Air Mobility, and Wendy's QSCC highlight Palantir’s expanding AI capabilities and potential for revenue growth in diverse sectors.

• According our earnings growth report, there's an indication that Palantir Technologies might be ready to expand.
• Dive into the specifics of Palantir Technologies here with our thorough financial health report.

Smartsheet (NYSE:SMAR)

Overview: Smartsheet Inc. offers an enterprise platform designed to plan, capture, manage, automate, and report on work for teams and organizations, with a market cap of $7.28 billion.

Operations: Revenue Segments (in millions of $): Smartsheet generates $1.04 billion from Internet Software & Services.

Estimated Discount To Fair Value: 42.8%

Smartsheet is trading at US$52.40, significantly below its estimated fair value of US$91.66, indicating it is undervalued based on cash flows. The company reported Q2 2024 revenue of US$276.41 million and net income of US$7.86 million, a turnaround from a net loss last year. With expected annual profit growth above market averages and projected revenue growth outpacing the broader U.S. market, Smartsheet shows strong potential for future profitability and value realization.

• Insights from our recent growth report point to a promising forecast for Smartsheet's business outlook.
• Unlock comprehensive insights into our analysis of Smartsheet stock in this financial health report.

Summing It All Up

• Investigate our full lineup of 964 Undervalued Stocks Based On Cash Flows right here.
• Invested in any of these stocks? Simplify your portfolio management with Simply Wall St and stay ahead with our alerts for any critical updates on your stocks.
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Ready For A Different Approach?

• 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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