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If you are looking to add undervalued tech stocks to your portfolio, this list is a great place to start your search.

We have gathered a group of 15 tech stocks with the following characteristics:

  • Market cap > $300M
  • PEG < 1
  • And levered free cash flow to market cap ratio greater than 5% (i.e. LFCF/Mkt cap > 5%)

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Which of these names are you most bullish about? Full details below. (Note: Data collected on Friday afternoon.)

1. TTM Technologies Inc. (NASDAQ:TTMI): Printed Circuit Boards Industry. Market cap of $1.37B. PEG at 0.91. TTM levered free cashflow at 194.11M, which represents about 14.1% of the company's current market cap. The stock is a short squeeze candidate, with a short float at 7.97% (equivalent to 5.22 days of average volume). After a solid performance over the last year, TTMI has pulled back during recent sessions. The stock is -4.64% below its SMA20 and -3.96% below its SMA50, but remains 27.94% above its SMA200. The stock has gained 70.54% over the last year.

2. DST Systems Inc. (NYSE:DST): Information and Delivery Services Industry. Market cap of $2.50B. PEG at 0.8. TTM levered free cash flow at 350.26M, which represents about 14.0% of the company's current market cap. Might be undervalued at current levels, with a PEG ratio at 0.8, and P/FCF ratio at 10.09. The stock has had a good month, gaining 11.32%.



3. InterDigital, Inc. (NASDAQ:IDCC): Wireless Communications Industry. Market cap of $2.09B. PEG at 0.77. TTM levered free cash flow at 280.14M, which represents about 13.4% of the company's current market cap. Relatively low correlation to the market (beta = 0.7), which may be appealing to risk averse investors. The stock is a short squeeze candidate, with a short float at 18.17% (equivalent to 7.52 days of average volume). The stock has gained 57.32% over the last year.



4. Spreadtrum Communications Inc. (NASDAQ:SPRD): Semiconductor Industry. Market cap of $967.81M. PEG at 0.9. TTM levered free cash flow at 117.90M, which represents about 12.2% of the company's current market cap. The stock has gained 215.25% over the last year.



5. Cellcom Israel Ltd. (NYSE:CEL): Wireless Communications Industry. Market cap of $3.11B. PEG at 0.92. TTM levered free cash flow at 370.94M, which represents about 11.9% of the company's current market cap. Relatively low correlation to the market (beta = 0.67), which may be appealing to risk averse investors. The stock has gained 4.44% over the last year.

6. Insight Enterprises Inc. (NASDAQ:NSIT): Application Software Industry. Market cap of $822.10M. PEG at 0.73. TTM levered free cash flow at 95.58M, which represents about 11.6% of the company's current market cap. This is a risky stock that is significantly more volatile than the overall market (beta = 2.62). The stock has gained 9.18% over the last year.

7. Shanda Games Limited (NASDAQ:GAME): Multimedia and Graphics Software Industry. Market cap of $1.99B. PEG at 0.92. TTM levered free cash flow at 223.34M, which represents about 11.2% of the company's current market cap. Might be undervalued at current levels, with a PEG ratio at 0.92, and P/FCF ratio at 7.85. Exhibiting strong upside momentum - currently trading 11.82% above its SMA20, 13.93% above its SMA50, and 16.59% above its SMA200. The stock has had a couple of great days, gaining 6.13% over the last week.

8. Telecom Argentina S A (NYSE:TEO): Diversified Communication Services Industry. Market cap of $4.58B. PEG at 0.99. TTM levered free cash flow at 472.69M, which represents about 10.3% of the company's current market cap. The stock has gained 24.16% over the last year.

9. RF Micro Devices Inc. (NASDAQ:RFMD): Semiconductor Industry. Market cap of $1.64B. PEG at 0.86. TTM levered free cash flow at 143.96M, which represents about 8.8% of the company's current market cap. The stock is currently stuck in a downtrend, trading -6.26% below its SMA20, -14.52% below its SMA50, and -8.03% below its SMA200. It's been a rough couple of days for the stock, losing 5.11% over the last week.

10. Intel Corporation (NASDAQ:INTC): Semiconductor Industry. Market cap of $105.44B. PEG at 0.84. TTM levered free cash flow at 8.54B, which represents about 8.1% of the company's current market cap. The stock has lost 15.57% over the last year.

11. Neutral Tandem, Inc. (NASDAQ:TNDM): Wireless Communications Industry. Market cap of $488.67M. PEG at 0.86. TTM levered free cash flow at 38.08M, which represents about 7.8% of the company's current market cap. Relatively low correlation to the market (beta = 0.72), which may be appealing to risk averse investors. The stock is a short squeeze candidate, with a short float at 8.22% (equivalent to 5.87 days of average volume). The stock has lost 12.49% over the last year.

12. Novellus Systems, Inc. (NASDAQ:NVLS):
Semiconductor Equipment and Materials Industry. Market cap of $3.05B. PEG at 0.93. TTM levered free cash flow at 192.10M, which represents about 6.3% of the company's current market cap. After a solid performance over the last year, NVLS has pulled back during recent sessions. The stock is -4.1% below its SMA20 and -8.77% below its SMA50, but remains 10.69% above its SMA200. The stock has gained 27.33% over the last year.

13. Marvell Technology Group Ltd. (NASDAQ:MRVL): Semiconductor Industry. Market cap of $9.92B. PEG at 0.77. TTM levered free cashflow at 600.99M, which represents about 6.1% of the company's current market cap. The stock has lost 29.14% over the last year.

14. Lam Research Corporation (NASDAQ:LRCX)
: Semiconductor Equipment and Materials Industry. Market cap of $6.30B. PEG at 0.95. TTM levered free cash flow at 373.56M, which represents about 5.9% of the company's current market cap. After a solid performance over the last year, LRCX has pulled back during recent sessions. The stock is -3.58% below its SMA20 and -3.87% below its SMA50, but remains 11.22% above its SMA200. The stock has gained 27.67% over the last year.

15. Schawk Inc. (NYSE:SGK):
Processing Systems and Products Industry. Market cap of $466.33M. PEG at 0.96. TTM levered free cash flow at 24.15M, which represents about 5.2% of the company's current market cap. It's been a rough couple of days for the stock, losing 5.25% over the last week.

*Cash flow data sourced from Yahoo! Finance, other data sourced from Finviz.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: Value Ideas: 15 Undervalued Tech Stocks Generating Significant Amounts of Cash