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The United Kingdom market has recently faced challenges, with the FTSE 100 index closing lower amid weak trade data from China and a sluggish global economic recovery. Despite these headwinds, there are opportunities to find stocks trading below their fair value, which can be appealing for investors looking for potential growth in undervalued assets. In this article, we will explore Henry Boot and two other stocks on the UK exchange that are estimated to be trading below their intrinsic worth.
Top 10 Undervalued Stocks Based On Cash Flows In The United Kingdom
Name | Current Price | Fair Value (Est) | Discount (Est) |
Gaming Realms (AIM:GMR) | £0.38 | £0.76 | 49.9% |
Triple Point Social Housing REIT (LSE:SOHO) | £0.66 | £1.30 | 49.3% |
Topps Tiles (LSE:TPT) | £0.463 | £0.9 | 48.3% |
Informa (LSE:INF) | £8.454 | £16.81 | 49.7% |
Redcentric (AIM:RCN) | £1.2925 | £2.45 | 47.3% |
Moonpig Group (LSE:MOON) | £2.025 | £3.65 | 44.5% |
Velocity Composites (AIM:VEL) | £0.44 | £0.82 | 46.4% |
Tortilla Mexican Grill (AIM:MEX) | £0.515 | £1.01 | 48.9% |
SysGroup (AIM:SYS) | £0.34 | £0.66 | 48.4% |
Foxtons Group (LSE:FOXT) | £0.632 | £1.19 | 46.8% |
Let's uncover some gems from our specialized screener.
Henry Boot
Overview: Henry Boot PLC is a UK-based company involved in property investment and development, land promotion, and construction activities, with a market cap of £310.01 million.
Operations: Henry Boot PLC's revenue segments include property investment and development, land promotion, and construction activities in the United Kingdom.
Estimated Discount To Fair Value: 20.4%
Henry Boot PLC's recent earnings report shows a significant drop in sales and net income, but the company remains undervalued based on discounted cash flow analysis. Trading at £2.32, it is 20.4% below its estimated fair value of £2.91. Despite lower earnings, the company has increased its interim dividend by 5%, reflecting confidence in future prospects. Additionally, ongoing business expansions like the Airport Business Park Southend project highlight growth potential and strategic investments in high-quality industrial spaces.
Trainline
Overview: Trainline Plc operates an independent rail and coach travel platform selling tickets in the United Kingdom and internationally, with a market cap of £1.47 billion.
Operations: Trainline's revenue segments include Trainline Solutions at £134.76 million, International Consumer at £53.16 million, and United Kingdom Consumer at £208.80 million.