3 Stocks Estimated To Be Trading At A Discount Of Up To 28.6%

As the U.S. stock market grapples with fluctuating bank earnings and inflation data, major indices like the Dow Jones, S&P 500, and Nasdaq have experienced recent declines. Amidst this volatility, identifying undervalued stocks can be a strategic move for investors looking to capitalize on potential market inefficiencies and secure assets at a discount.

Top 10 Undervalued Stocks Based On Cash Flows In The United States

Name	Current Price	Fair Value (Est)	Discount (Est)
Valley National Bancorp (VLY)	$11.66	$23.01	49.3%
Perfect (PERF)	$1.72	$3.42	49.8%
Hims & Hers Health (HIMS)	$32.20	$63.39	49.2%
Heritage Financial (HFWA)	$23.85	$46.53	48.7%
Fifth Third Bancorp (FITB)	$48.13	$94.38	49%
Fidelity National Information Services (FIS)	$64.23	$125.99	49%
Dingdong (Cayman) (DDL)	$2.92	$5.71	48.9%
Datadog (DDOG)	$125.50	$248.27	49.4%
CNB Financial (CCNE)	$25.93	$50.53	48.7%
Alpha Metallurgical Resources (AMR)	$240.52	$464.55	48.2%

Click here to see the full list of 188 stocks from our Undervalued US Stocks Based On Cash Flows screener.

Let's review some notable picks from our screened stocks.

CompoSecure (CMPO)

Overview: CompoSecure, Inc. is a company that designs and manufactures metal, composite, and proprietary financial transaction cards for both the U.S. and international markets, with a market cap of $2.63 billion.

Operations: Revenue segments for CompoSecure include the production and design of metal, composite, and proprietary financial transaction cards across domestic and global markets.

Estimated Discount To Fair Value: 13%

CompoSecure, trading at US$21.43, is slightly undervalued compared to its fair value estimate of US$24.63. The company anticipates robust revenue growth of 35.7% annually, outpacing the broader market's 10.5%. Despite recent shareholder dilution and a net loss increase, CompoSecure is expected to become profitable within three years with high forecasted return on equity at 45.1%. Recent board changes and a switch in auditors may influence future strategic directions.

• Insights from our recent growth report point to a promising forecast for CompoSecure's business outlook.
• Navigate through the intricacies of CompoSecure with our comprehensive financial health report here.

LandBridge (LB)

Overview: LandBridge Company LLC, along with its subsidiaries, focuses on owning and managing land and resources to facilitate oil and natural gas development in the United States, with a market cap of $4.01 billion.

Operations: The company's revenue segment includes Real Estate - Rental, generating $178.81 million.

Estimated Discount To Fair Value: 28.6%

LandBridge, trading at US$55.38, is significantly undervalued with an estimated fair value of US$77.6. The company has entered agreements for battery energy storage projects with Samsung C&T Renewables, enhancing its renewable portfolio. Despite high debt levels, LandBridge's earnings grew by a large margin last year and are expected to rise 67.6% annually over the next three years, surpassing market growth rates and supporting its undervaluation based on cash flows.

• Our growth report here indicates LandBridge may be poised for an improving outlook.
• Click here and access our complete balance sheet health report to understand the dynamics of LandBridge.

Millrose Properties (MRP)

Overview: Millrose Properties (MRP) specializes in purchasing and developing residential land, selling finished homesites to homebuilders through option contracts with predetermined costs and takedown schedules, and has a market cap of $5.09 billion.

Operations: The company's revenue segments include the acquisition and development of residential land and the sale of completed homesites to homebuilders via option contracts.

Estimated Discount To Fair Value: 23.1%

Millrose Properties, trading at US$30.6, is undervalued with a fair value estimate of US$39.8. Recent earnings reports show a turnaround to profitability with net income of US$105.06 million for Q3 2025, compared to a loss last year. Despite its dividend yield being unsustainable from earnings or free cash flows, Millrose's revenue and earnings are forecasted to grow significantly faster than the market, supporting its valuation based on cash flows.

• In light of our recent growth report, it seems possible that Millrose Properties' financial performance will exceed current levels.
• Click to explore a detailed breakdown of our findings in Millrose Properties' balance sheet health report.

Seize The Opportunity

• Investigate our full lineup of 188 Undervalued US Stocks Based On Cash Flows right here.
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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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