In This Article:
Amidst a landscape of regulatory challenges and fines in the financial sector, as exemplified by Green Dot's recent $44 million penalty from the Federal Reserve, investors may find it prudent to look for value in other areas of the market. In this context, identifying stocks that appear undervalued could provide opportunities for those looking to invest under current market conditions.
Top 5 Undervalued Stocks Based On Cash Flows In Singapore
Name | Current Price | Fair Value (Est) | Discount (Est) |
Singapore Technologies Engineering (SGX:S63) | SGD4.45 | SGD7.45 | 40.3% |
Winking Studios (Catalist:WKS) | SGD0.29 | SGD0.51 | 43% |
Hongkong Land Holdings (SGX:H78) | US$3.37 | US$5.77 | 41.6% |
Frasers Logistics & Commercial Trust (SGX:BUOU) | SGD0.995 | SGD1.66 | 40.2% |
Seatrium (SGX:5E2) | SGD1.46 | SGD2.62 | 44.3% |
Digital Core REIT (SGX:DCRU) | US$0.64 | US$1.12 | 42.7% |
Nanofilm Technologies International (SGX:MZH) | SGD0.935 | SGD1.48 | 36.7% |
We'll examine a selection from our screener results.
Hongkong Land Holdings
Overview: Hongkong Land Holdings Limited operates in property investment, development, and management across Hong Kong, Macau, Mainland China, Southeast Asia, and other international locations with a market capitalization of approximately $7.44 billion.
Operations: The company's revenue is derived from two primary segments: investment properties, generating $1.08 billion, and development properties, contributing $0.76 billion.
Estimated Discount To Fair Value: 41.6%
Hongkong Land Holdings, trading at S$3.37, significantly below the estimated fair value of S$5.77, appears undervalued based on cash flows. Despite a low forecasted return on equity of 2.4% in three years and slower revenue growth at 4.6% annually compared to the market average, it is set to become profitable within this period with earnings expected to increase substantially by 45.12% per year. Recent updates indicate stable underlying profits and an improved performance in its luxury retail and Singapore office sectors.
Nanofilm Technologies International
Overview: Nanofilm Technologies International Limited operates in the field of nanotechnology solutions across Singapore, China, Japan, and Vietnam with a market capitalization of approximately SGD 608.70 million.
Operations: Nanofilm Technologies International's revenue streams include Sydrogen (SGD 1.05 million), Nanofabrication (SGD 16.05 million), Advanced Materials (SGD 141.54 million), and Industrial Equipment (SGD 37.17 million).