Undiscovered Gems in United States to Watch This September 2024

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Over the last 7 days, the United States market has remained flat, but it is up 32% over the past year with earnings expected to grow by 15% per annum over the next few years. In this promising environment, identifying undiscovered gems can provide significant opportunities for investors looking to capitalize on growth potential.

Top 10 Undiscovered Gems With Strong Fundamentals In The United States

Name

Debt To Equity

Revenue Growth

Earnings Growth

Health Rating

Morris State Bancshares

10.20%

-0.28%

6.97%

★★★★★★

Teekay

NA

-6.48%

55.79%

★★★★★★

Mission Bancorp

25.37%

16.23%

20.16%

★★★★★★

Omega Flex

NA

1.31%

3.88%

★★★★★★

First Northern Community Bancorp

NA

7.12%

10.04%

★★★★★★

Banco Latinoamericano de Comercio Exterior S. A

311.64%

21.07%

24.77%

★★★★★☆

United Bancorporation of Alabama

13.34%

18.86%

25.45%

★★★★★☆

Valhi

38.71%

2.57%

-19.76%

★★★★★☆

QDM International

36.42%

107.08%

78.76%

★★★★★☆

FRMO

0.17%

12.99%

23.62%

★★★★☆☆

Click here to see the full list of 206 stocks from our US Undiscovered Gems With Strong Fundamentals screener.

We'll examine a selection from our screener results.

SBC Medical Group Holdings

Simply Wall St Value Rating: ★★★★★☆

Overview: SBC Medical Group Holdings Incorporated operates in the healthcare services sector with a market capitalization of $808.80 million.

Operations: SBC Medical Group Holdings generates revenue primarily from its healthcare facilities and services, amounting to $217.54 million.

SBC Medical Group Holdings, a small cap stock, has seen impressive earnings growth of 164% over the past year, outpacing the Professional Services industry’s 4.3%. Despite being highly volatile recently, SBC trades at 90.6% below its estimated fair value and is free cash flow positive with US$64.23M in levered free cash flow as of June 2024. The company also benefits from having more cash than total debt and high-quality earnings but faced significant shareholder dilution last year.

NasdaqGM:SBC Earnings and Revenue Growth as at Sep 2024
NasdaqGM:SBC Earnings and Revenue Growth as at Sep 2024

Centrus Energy

Simply Wall St Value Rating: ★★★★★☆

Overview: Centrus Energy Corp. supplies nuclear fuel components and services for the nuclear power industry in various countries, including the United States, Belgium, and Japan, with a market cap of $896.05 million.

Operations: Centrus Energy generates revenue primarily from its Low-Enriched Uranium (LEU) segment, which brought in $320.80 million, and its Technical Solutions segment, contributing $71.80 million.

Centrus Energy has seen impressive earnings growth of 164.9% over the past year, outpacing the Oil and Gas industry average of -32.9%. The company repurchased shares in 2024, reflecting confidence in its valuation, which trades at 66.4% below estimated fair value. Recent board appointments include Stephanie O'Sullivan and Ray Rothrock, bringing significant expertise in intelligence and cybersecurity. Despite a volatile share price recently, Centrus remains profitable with positive free cash flow and more cash than total debt.

NYSEAM:LEU Earnings and Revenue Growth as at Sep 2024
NYSEAM:LEU Earnings and Revenue Growth as at Sep 2024

Valhi

Simply Wall St Value Rating: ★★★★★☆

Overview: Valhi, Inc. operates in the chemicals, component products, and real estate management and development sectors across Europe, North America, the Asia Pacific, and internationally with a market cap of approximately $965.98 million.

Operations: Valhi generates revenue primarily from its chemicals segment ($1.78 billion), followed by component products ($157.40 million) and real estate management and development ($78.50 million).

Valhi has shown impressive earnings growth of 215.4% over the past year, far outpacing the Chemicals industry's -4.8%. The company's net debt to equity ratio stands at a satisfactory 8.6%, with interest payments well covered by EBIT at a 4.7x coverage rate. Despite volatility in share price, Valhi's high-quality earnings and reduced debt to equity ratio from 78% to 38.7% over five years indicate solid financial health and potential for future stability and growth.

NYSE:VHI Debt to Equity as at Sep 2024
NYSE:VHI Debt to Equity as at Sep 2024

Where To Now?

Curious About Other Options?

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.

Companies discussed in this article include NasdaqGM:SBC NYSEAM:LEU and NYSE:VHI.

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