September 2026 Cash Flow Stocks To Improve Your Portfolio

Foreign investors have poured a record US$942b into US equities over the past year, even as many worry that broad indices look expensive. When global money chases the headline benchmarks, quieter pockets of the market can get overlooked. That is where cash rich businesses priced below their estimated fair value come in. This article highlights three such undervalued cash flow plays from our screen.

The three examples in this piece are only a starting sample from the wider idea, with a further 198 companies on the same cash flow screen that carry similarly interesting stories and valuation gaps. To go straight to the full list and work through the opportunities yourself, use the Undervalued Stocks Based On Cash Flows screener

Broadcom (AVGO)

Broadcom is already huge in semiconductors, but for this cash flow focused screen the interest sits squarely on its VMware infrastructure software, where high margin subscriptions and maintenance payments create the kind of recurring inflows that can anchor discounted cash flow valuations.

Broadcom Inc. designs semiconductor devices and infrastructure software, pairing custom chips and networking hardware with VMware based cloud and private AI tools that fit the cash flow theme. Semiconductor Solutions generated about US$59.4b, Infrastructure Software about US$29.7b, and the group carries a market value near US$1.68t.

"Broadcom is generating substantial free cash flow, expanding its custom silicon business, strengthening its position in networking, and integrating software assets that further diversify earnings."

The key variable is how one emerging pressure shapes the balance between high margin software cash flows and capital intensive AI hardware demand.

That cash flow mix is where the Broadcom story really starts to accelerate, and the full narrative for Broadcom shows how hardware and software cash cycles could be quietly decoupling.

Alphabet (GOOGL)

Alphabet is best known for Search and YouTube ads, but for this cash flow screen the interest is in Google Cloud’s AI infrastructure and Vertex AI platform, where usage based enterprise contracts can shape the long run value story.

"Google Cloud has gone from “meh” to money-maker, now #3 globally with over 11% market share and operating profitability driven by AI-first services like Vertex AI and Duet AI."

What really moves the valuation needle is how that capital hungry AI build out eventually filters through into steadier margins and free cash generation.

That margin story is only half of it, and the full narrative for Alphabet tracks how Alphabet’s AI infrastructure push could reshape cash generation and where risk might still be mispriced.

Amazon.com (AMZN)

Amazon.com is best known for its global online retail and Prime membership ecosystem. However, the cash flow case in this screener leans heavily on Amazon Web Services, where cloud compute, storage and AI tools generate recurring inflows that feed discounted cash flow models.

North America retail contributes about US$453.7b of revenue, International around US$173.6b, and AWS about US$148.4b, while the overall business carries a market value close to US$2.69t.

For this list of undervalued cash flow stories, Amazon.com matters because AWS supplies much of the durable, recurring cash that underpins the valuation work, even though the wider retail and advertising machine still brings in the bulk of sales.

"AWS reaccelerated through 2025 with roughly 20% year-over-year growth, exiting the year with an annualized revenue base exceeding $130 billion."

The real swing factor is how that cash engine interacts with an intense AI buildout cycle that currently leans on heavy, debt funded spending.

That cash engine is only half the story, and the full narrative for Amazon.com lays out how AWS, retail and AI spending could reshape Amazon.com’s long term cash profile.

Seeking Fresh Alternatives Before They Fly

Fresh ideas often move first, and the best breakout setups are frequently identified by screens while momentum is still building and attention is focused elsewhere. Stay ahead and consider acting before broader interest develops.

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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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