Advertisement
UK markets closed
  • NIKKEI 225

    37,552.16
    +113.55 (+0.30%)
     
  • HANG SENG

    16,828.93
    +317.24 (+1.92%)
     
  • CRUDE OIL

    83.40
    +1.50 (+1.83%)
     
  • GOLD FUTURES

    2,335.70
    -10.70 (-0.46%)
     
  • DOW

    38,503.69
    +263.71 (+0.69%)
     
  • Bitcoin GBP

    53,346.22
    -75.79 (-0.14%)
     
  • CMC Crypto 200

    1,426.91
    +12.15 (+0.86%)
     
  • NASDAQ Composite

    15,696.64
    +245.33 (+1.59%)
     
  • UK FTSE All Share

    4,378.75
    +16.15 (+0.37%)
     

Top AIM Undervalued Stock

Recent undervalued companies based on their current market price include HML Holdings and Cambria Africa. Smart investors can make money from this discrepancy by buying these shares, because they believe the current market prices will eventually move towards their true value. If you’re looking for capital gains in your next investment, I suggest you take a look at my list of potentially undervalued stocks.

HML Holdings plc (AIM:HMLH)

HML Holdings plc, together with its subsidiaries, provides residential property management services in the United Kingdom. Founded in 1991, and headed by CEO Robert Plumb, the company currently employs 500 people and with the stock’s market cap sitting at GBP £15.01M, it comes under the small-cap group.

ADVERTISEMENT

HMLH’s stock is now floating at around -60% lower than its true value of £0.82, at a price tag of UK£0.33, based on its expected future cash flows. This discrepancy gives us a chance to invest in HMLH at a discount. In addition to this, HMLH’s PE ratio is currently around 13.67x relative to its index peer level of, 17.31x implying that relative to its competitors, HMLH’s shares can be purchased for a lower price. HMLH is also strong in terms of its financial health, as short-term assets amply cover upcoming and long-term liabilities.

Interested in HML Holdings? Find out more here.

AIM:HMLH PE PEG Gauge Jun 10th 18
AIM:HMLH PE PEG Gauge Jun 10th 18

Cambria Africa plc (AIM:CMB)

Cambria Africa plc is a principal investment firm specializing in investments in tourism, accommodation, infrastructure, transport, commercial and residential property, technology, communications, manufacturing, retail, services, leisure, agricultural, and natural resources sectors. The company size now stands at 93 people and has a market cap of GBP £4.42M, putting it in the small-cap group.

CMB’s stock is now floating at around -53% under its actual value of $0.03, at a price tag of UK£0.013, based on its expected future cash flows. This mismatch indicates a chance to invest in CMB at a discounted price. In terms of relative valuation, CMB’s PE ratio is trading at around 7.4x relative to its Capital Markets peer level of, 15.49x meaning that relative to its competitors, we can purchase CMB’s shares for cheaper. CMB is also robust in terms of financial health, with near-term assets able to cover upcoming and long-term liabilities.

Interested in Cambria Africa? Find out more here.

AIM:CMB PE PEG Gauge Jun 10th 18
AIM:CMB PE PEG Gauge Jun 10th 18

ScS Group plc (LSE:SCS)

ScS Group plc, together with its subsidiaries, engages in the retail of upholstered furniture and flooring products in the United Kingdom. Founded in 1996, and headed by CEO David Knight, the company now has 1,952 employees and with the company’s market capitalisation at GBP £85.02M, we can put it in the small-cap stocks category.

SCS’s stock is now trading at -55% beneath its true value of £4.78, at a price tag of UK£2.15, based on its expected future cash flows. This price and value mismatch indicates a potential opportunity to buy the stock at a low price. Also, SCS’s PE ratio stands at around 7.37x against its its Specialty Retail peer level of, 12.42x suggesting that relative to its competitors, SCS can be bought at a cheaper price right now. SCS is also a financially healthy company, as current assets can cover liabilities in the near term and over the long run. SCS also has no debt on its balance sheet, which gives it headroom to grow and financial flexibility. Continue research on ScS Group here.

LSE:SCS PE PEG Gauge Jun 10th 18
LSE:SCS PE PEG Gauge Jun 10th 18

For more financially sound, undervalued companies to add to your portfolio, explore this interactive list of undervalued stocks.


To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.