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As global markets exhibit a notably broad advance, with indices like the Russell 2000 Index showing significant gains, investors may find opportunities in sectors that are currently undervalued. In such an environment, identifying stocks that are trading below their estimated true value could offer potential for appreciation as market conditions evolve.
Top 10 Undervalued Stocks Based On Cash Flows
Name | Current Price | Fair Value (Est) | Discount (Est) |
Noble (NYSE:NE) | US$46.86 | US$93.04 | 49.6% |
Truecaller (OM:TRUE B) | SEK35.40 | SEK70.79 | 50% |
Hanjaya Mandala Sampoerna (IDX:HMSP) | IDR745.00 | IDR1483.43 | 49.8% |
Mets? Board Oyj (HLSE:METSB) | €7.235 | €14.46 | 50% |
RaySearch Laboratories (OM:RAY B) | SEK139.40 | SEK277.33 | 49.7% |
Guerbet (ENXTPA:GBT) | €39.65 | €79.11 | 49.9% |
INKON Life Technology (SZSE:300143) | CN¥7.39 | CN¥14.64 | 49.5% |
Jiangsu Chuanzhiboke Education Technology (SZSE:003032) | CN¥8.70 | CN¥17.27 | 49.6% |
Lumi Gruppen (OB:LUMI) | NOK12.90 | NOK25.78 | 50% |
MediaAlpha (NYSE:MAX) | US$13.98 | US$27.76 | 49.6% |
Here's a peek at a few of the choices from the screener.
BFF Bank
Overview: BFF Bank S.p.A. offers financial services to suppliers of the national health system and public administration sectors across Italy and several other European countries, with a market capitalization of approximately €2.01 billion.
Operations: The bank's revenue from commercial financial services totals approximately €0.41 billion.
Estimated Discount To Fair Value: 33.1%
BFF Bank, with a recent earnings report showing a net income of €39.31 million, down from €48.4 million last year, still holds potential based on cash flow analysis. Despite the decline, BFF is trading at 33.1% below its estimated fair value and is forecasted to grow earnings by 15.07% annually, outpacing the Italian market's 5.1%. However, its dividend sustainability is questionable as it isn't well covered by earnings or free cash flows. The bank's share price has shown high volatility recently.
Military Commercial Bank
Overview: Military Commercial Joint Stock Bank offers banking services to both organizations and individuals domestically in Vietnam and on an international scale, with a market capitalization of approximately ?132.13 trillion.
Operations: The bank generates its revenue through a variety of banking services provided to both corporate entities and private individuals across local and international markets.