Yahoo Finance Kaufman & Broad And Two Additional Stocks Estimated To Be Undervalued On Euronext Paris
Amidst a backdrop of political uncertainty and fluctuating market indices, the French stock market has experienced notable volatility, reflecting broader trends seen across European financial markets. In such an environment, identifying undervalued stocks such as Kaufman & Broad becomes crucial, as these may present opportunities for investors seeking value in a turbulent market landscape.
Top 10 Undervalued Stocks Based On Cash Flows In France
Name | Current Price | Fair Value (Est) | Discount (Est) |
Vente-Unique.com (ENXTPA:ALVU) | €14.70 | €29.25 | 49.7% |
Airbus (ENXTPA:AIR) | €143.82 | €218.99 | 34.3% |
Kaufman & Broad (ENXTPA:KOF) | €27.90 | €53.14 | 47.5% |
Lectra (ENXTPA:LSS) | €27.30 | €43.10 | 36.7% |
Groupe OKwind Société anonyme (ENXTPA:ALOKW) | €18.52 | €34.09 | 45.7% |
Vivendi (ENXTPA:VIV) | €9.50 | €15.41 | 38.4% |
Tikehau Capital (ENXTPA:TKO) | €21.20 | €32.14 | 34% |
ENENSYS Technologies (ENXTPA:ALNN6) | €0.58 | €1.11 | 47.8% |
Thales (ENXTPA:HO) | €150.30 | €258.88 | 41.9% |
Groupe Airwell Société anonyme (ENXTPA:ALAIR) | €3.88 | €6.72 | 42.3% |
Let's review some notable picks from our screened stocks
Kaufman & Broad
Overview: Kaufman & Broad S.A. is a French property developer and builder with a market capitalization of approximately €575.52 million.
Operations: This French property developer generates its revenue from various construction and development projects across France.
Estimated Discount To Fair Value: 47.5%
Kaufman & Broad S.A. recently reported a significant drop in quarterly sales and net income, with figures falling to €228 million and €11.05 million respectively from higher values last year. Despite this downturn, the company is perceived as undervalued based on discounted cash flow analysis, trading at 47.5% below the estimated fair value of €53.14. Analysts expect an earnings growth of 13.41% per year, outpacing the French market's forecast of 11.1%, and project a potential stock price increase of 21.3%. However, its dividend track record remains unstable.
Lectra
Overview: Lectra SA specializes in industrial intelligence solutions for the fashion, automotive, and furniture industries across Northern Europe, Southern Europe, the Americas, and Asia Pacific, with a market capitalization of approximately €1.03 billion.
Operations: Lectra's revenue is primarily generated from the Americas and Asia Pacific regions, with contributions of €170.33 million and €110.28 million respectively.
Estimated Discount To Fair Value: 36.7%
Lectra SA, despite a slight decline in net income and EPS in its recent quarterly report with earnings of €7.17 million and EPS at €0.19, shows promise as an undervalued stock based on cash flows. Currently trading at €27.3, significantly below the estimated fair value of €43.1, it offers good value relative to peers and industry benchmarks. Analysts forecast robust annual earnings growth at 28.6% and revenue growth at 11.3%, both surpassing the French market averages, supporting a potential price increase of 30.8%.
Insights from our recent growth report point to a promising forecast for Lectra's business outlook.
Delve into the full analysis health report here for a deeper understanding of Lectra.
Tikehau Capital
Overview: Tikehau Capital is a private equity and venture capital firm that offers a variety of financing products such as senior secured loans, equity, and mezzanine; it has a market capitalization of approximately €3.67 billion.
Operations: The firm generates revenue through two main segments: Investment Activities, which brought in €179.19 million, and Asset Management Activities, contributing €322.32 million.
Estimated Discount To Fair Value: 34%
Tikehau Capital, trading at €21.2, is valued below its fair value of €32.14, indicating a potential undervaluation by 34%. Despite a dividend increase to €0.75 per share in May 2024, the payout is poorly supported by cash flows. Profit margins have declined from last year's 53.2% to 35.2%, and while earnings are expected to grow significantly at an annual rate of about 31%, this growth surpasses the French market's average of 11.1%. Revenue forecasts also exceed local market trends but fall short of the ambitious 20% threshold.
Where To Now?
Get an in-depth perspective on all 17 Undervalued Euronext Paris Stocks Based On Cash Flows by using our screener 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.
Companies discussed in this article include ENXTPA:KOF ENXTPA:LSS and ENXTPA:TKO.
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