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Do you consider yourself a value investor? For ideas on how to start your own value search, we ran a screen.

We began by screening for stocks that appear undervalued to both earnings growth and free cash flow, with PEG below 1 and P/FCF below 15. These are both considered fair value ratios for most stocks, so ratios below these numbers indicate that the stock may be undervalued.

We then screened for those also seeing bullish trends in shares shorted month-over-month, with significant decreases in shares shorted representing at least 2% of share float.

Interactive Chart: Press Play to compare changes in market cap over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.

Do you think these stocks should be trading higher? Use this list as a starting point for your own analysis.

List sorted by decrease in shares shorted as a percent of share float.

1. Fushi Copperweld, Inc. (NASDAQ:FSIN): Develops, designs, manufactures, markets, and distributes bimetallic wire products, principally copper-clad aluminum and copper-clad steel. Market cap at $270.74M, most recent closing price at $7.08. PEG at 0.73. P/FCF at 3.83. Shares shorted have decreased from 5.34M to 3.25M over the last month, a decrease which represents about 8.96% of the company's float of 23.32M shares. Days to cover ratio at 5.35 days.

2. Medifast Inc. (NYSE:MED): Engages in the production, distribution, and sale of weight management and disease management products, and other consumable health and diet products in the United States. Market cap at $300.12M, most recent closing price at $19.35. PEG at 0.86. P/FCF at 14.85. Shares shorted have decreased from 3.76M to 3.09M over the last month, a decrease which represents about 5.42% of the company's float of 12.37M shares. Days to cover ratio at 12.04 days.

3. Diamond Foods, Inc. (NASDAQ:DMND): Engages in processing, marketing, and distributing snack products, as well as culinary, in-shell, and ingredient nuts. Market cap at $470.76M, most recent closing price at $21.34. PEG at 0.55. P/FCF at 13.85. Shares shorted have decreased from 12.11M to 11.31M over the last month, a decrease which represents about 3.75% of the company's float of 21.31M shares. Days to cover ratio at 5.06 days.

4. STEC, Inc. (NASDAQ:STEC): Designs, manufactures, and markets enterprise-class flash solid-state drives for use in high-performance storage and server systems. Market cap at $391.78M, most recent closing price at $8.48. PEG at 0.74. P/FCF at 6.42. Shares shorted have decreased from 7.14M to 6.12M over the last month, a decrease which represents about 3.16% of the company's float of 32.27M shares. Days to cover ratio at 8.53 days.

5. Telephone & Data Systems Inc. (NYSE:TDS): Provides wireless and wireline telecommunications services in the United States. Market cap at $2.67B, most recent closing price at $24.60. PEG at 0.93. P/FCF at 11.34. Shares shorted have decreased from 3.23M to 652.51K over the last month, a decrease which represents about 3.08% of the company's float of 83.81M shares. Days to cover ratio at 1.17 days.

6. DepoMed Inc. (NASDAQ:DEPO): Develops and commercializes pharmaceutical products based on its proprietary oral drug delivery technologies in the United States. Market cap at $352.01M, most recent closing price at $6.33. PEG at 0.17. P/FCF at 6.18. Shares shorted have decreased from 4.62M to 3.44M over the last month, a decrease which represents about 2.42% of the company's float of 48.67M shares. Days to cover ratio at 8.77 days.

*Short data sourced from Yahoo! Finance, all other data sourced from Finviz.

Source: 6 Highly Undervalued Stocks With Bullish Short Trends