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If you’re in the market for potentially undervalued opportunities, this list may be a great launching pad for ideas.

Below is a list of 20 companies that are undervalued across the board. All companies listed have a PEG ratio below 1 and a P/FCF ratio below 10 – they are also trading at a steep discount to analyst target price (used as a proxy for fair value).

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We are aware that target price can be upwardly biased, however it is important to gauge how the analyst community views a stock’s valuation when evaluating a stock’s price.

What defines “undervalued” to you? Read below, using this list as a starting-off point for your own analysis into potentially undervalued stocks.

List sorted by discount from analyst target price.

1. Advance America, Cash Advance Centers Inc. (NYSE:AEA): Credit Services Industry. Market cap of $322.04M. PEG at 0.59. P/FCF at 2.91. Current price at $5.12 vs. target price at $8.00 (implying a discount of 36.00%). This is a risky stock that is significantly more volatile than the overall market (beta = 3.01). The stock has had a couple of great days, gaining 5.3% over the last week.

2. Power-One Inc. (NASDAQ:PWER): Diversified Electronics Industry. Market cap of $911.76M. PEG at 0.47. P/FCF at 5.07. Current price at $8.53 vs. target price at $13.10 (implying a discount of 34.89%). The stock is a short squeeze candidate, with a short float at 41.33% (equivalent to 6.1 days of average volume). The stock has gained 104.57% over the last year.

3. United Online, Inc. (NASDAQ:UNTD): Specialty Retail Industry. Market cap of $562.38M. PEG at 0.73. P/FCF at 7.51. Current price at $6.36 vs. target price at $9.24 (implying a discount of 31.17%). The stock has lost 11.37% over the last year.

4. LTX-Credence Corporation (LTXC): Semiconductor Equipment & Materials Industry. Market cap of $448.60M. PEG at 0.63. P/FCF at 6.62. Current price at $8.75 vs. target price at $12.60 (implying a discount of 30.56%). This is a risky stock that is significantly more volatile than the overall market (beta = 2.52). The stock has lost 1.2% over the last year.

5. Valassis Communications Inc. (NYSE:VCI): Marketing Services Industry. Market cap of $1.47B. PEG at 0.24. P/FCF at 3.43. Current price at $29.37 vs. target price at $42.00 (implying a discount of 30.07%). Short float at 13.75% (equivalent to 9.07 days of average volume), indicating the stock is a short squeeze candidate. The stock has gained 1.17% over the last year.

6. Encore Capital Group, Inc. (NASDAQ:ECPG): Credit Services Industry. Market cap of $607.95M. PEG at 0.91. P/FCF at 8.6. Current price at $24.92 vs. target price at $34.14 (implying a discount of 27.01%). This is a risky stock that is significantly more volatile than the overall market (beta = 2.18). The stock has gained 46.98% over the last year.

7. RF Micro Devices Inc. (NASDAQ:RFMD): Semiconductor Industry. Market cap of $1.76B. PEG at 0.92. P/FCF at 8.32. Current price at $6.45 vs. target price at $8.83 (implying a discount of 26.95%). The stock has performed poorly over the last month, losing 10.3%.

8. The Dolan Company (NYSE:DM): Periodicals Industry. Market cap of $383.56M. PEG at 0.69. P/FCF at 6.94. Current price at $12.46 vs. target price at $16.75 (implying a discount of 25.61%). The stock has had a couple of great days, gaining 7.25% over the last week.

9. GT Solar International, Inc. (SOLR): Semiconductor Industry. Market cap of $1.30B. PEG at 0.68. P/FCF at 5.65. Current price at $10.38 vs. target price at $13.86 (implying a discount of 25.11%). It's been a rough couple of days for the stock, losing 7.06% over the last week.

10. Southwest Airlines Co. (NYSE:LUV): Regional Airlines Industry. Market cap of $9.31B. PEG at 0.98. P/FCF at 8.83. Current price at $12.46 vs. target price at $16.45 (implying a discount of 24.26%). The stock has lost 7.22% over the last year.

11. Synaptics Inc. (NASDAQ:SYNA): Computer Peripherals Industry. Market cap of $854.28M. PEG at 0.85. P/FCF at 9.49. Current price at $25.38 vs. target price at $33.38 (implying a discount of 23.97%). The stock is a short squeeze candidate, with a short float at 29.82% (equivalent to 16.87 days of average volume). The stock is currently stuck in a downtrend, trading 6.3% below its SMA20, 10.94% below its SMA50, and 11.2% below its SMA200. It's been a rough couple of days for the stock, losing 6.67% over the last week.

12. American Axle & Manufacturing Holdings Inc. (NYSE:AXL): Auto Parts Industry. Market cap of $937.48M. PEG at 0.48. P/FCF at 7.55. Current price at $12.36 vs. target price at $16.21 (implying a discount of 23.75%). After a solid performance over the last year, AXL has pulled back during recent sessions. The stock is 4.54% below its SMA20 and 9.55% below its SMA50, but remains 11.88% above its SMA200. The stock has gained 17.67% over the last year.

13. Sonic Automotive Inc. (NYSE:SAH): Auto Dealerships Industry. Market cap of $734.31M. PEG at 0.63. P/FCF at 4.32. Current price at $13.91 vs. target price at $18.08 (implying a discount of 23.06%). Short float at 17.2% (equivalent to 9.6 days of average volume), indicating the stock is a short squeeze candidate. The stock has gained 15.82% over the last year.

14. Micron Technology Inc. (NASDAQ:MU): Semiconductor Industry. Market cap of $11.16B. PEG at 0.65. P/FCF at 6.01. Current price at $11.17 vs. target price at $14.28 (implying a discount of 21.78%). The stock has gained 9.38% over the last year.

15. Bridgepoint Education, Inc. (NYSE:BPI): Education & Training Services Industry. Market cap of $903.57M. PEG at 0.32. P/FCF at 5.53. Current price at $16.96 vs. target price at $21.50 (implying a discount of 21.12%). The stock is a short squeeze candidate, with a short float at 20.23% (equivalent to 23.81 days of average volume). The stock has lost 28.59% over the last year.

16. SanDisk Corp. (NASDAQ:SNDK): Semiconductor Industry. Market cap of $11.03B. PEG at 0.69. P/FCF at 8.21. Current price at $47.15 vs. target price at $58.50 (implying a discount of 19.40%). The stock has gained 30.02% over the last year.

17. Republic Bancorp Inc. (NASDAQ:RBCAA): Regional Bank. Market cap of $429.27M. PEG at 0.66. P/FCF at 5.83. Current price at $20.97 vs. target price at $26.00 (implying a discount of 19.35%). The stock has had a couple of great days, gaining 6.49% over the last week.

18. TPC Group Inc (NASDAQ:TPCG): Chemicals Industry. Market cap of $548.71M. PEG at 0.76. P/FCF at 6.72. Current price at $30.47 vs. target price at $37.50 (implying a discount of 18.75%). The stock has gained 140.4% over the last year.

19. Nelnet Inc. (NYSE:NNI): Credit Services Industry. Market cap of $1.08B. PEG at 0.39. P/FCF at 7.29. Current price at $21.95 vs. target price at $27.00 (implying a discount of 18.70%). The stock has gained 17.17% over the last year.

20. AFLAC Inc. (NYSE:AFL): Accident & Health Insurance Industry. Market cap of $25.56B. PEG at 0.82. P/FCF at 3.96. Current price at $54.29 vs. target price at $66.59 (implying a discount of 18.47%). The stock has lost 0.64% over the last year.

*Price multiples, target price, and all other data sourced from Finviz.

Source: 20 Deeply Undervalued Companies for Your Watchlist