When screening the market for value opportunities, investors could be interested in the following stocks since their prices are trading at a discount to the intrinsic value calculated by GuruFocus' earnings-based discounted cash flow calculator.
Furthermore, sell-side analysts on Wall Street have issued positive recommendation ratings for these stocks, indicating they expect share prices to rise.
Hywin Holdings
The first stock that meets the criteria is Hywin Holdings Ltd. (HYW, Financial), a Shanghai-based asset management company that provides wealth management, insurance brokerage and asset management service in mainland China.
The stock was trading around $6.1 per share on Tuesday, which is below the intrinsic value of $10.49 from the DCF model, yielding a 41.85% margin of safety.
The share price declined 38.4% over the past year, determining a market capitalization of $170.80 million and a 52-week range of $5.29 to $11.25.
GuruFocus has assigned a score of 8 out of 10 to the company's financial strength and 5 out of 10 to its profitability.
On Wall Street, the stock has a recommendation rating of buy and a target price of $14 per share.
IvyRock Asset Management (HK) Ltd. and Jane Street Group LLC are the company's top fund holders with 0.71% and 0.08% of its shares outstanding.
Capital Product Partners
The second stock that makes the cut is Capital Product Partners LP (CPLP, Financial), a Piraeus, Greece-based shipping company.
The stock was trading around $13.2 on Tuesday, which stands below the intrinsic value of $47.97 from the DCF model, yielding a 72.55% margin of safety.
The share price jumped by 91% over the past year, determining a market capitalization of $237.53 million and a 52-week range of $6.51 to $14.01.
GuruFocus has assigned a score of 4 out of 10 to the company's financial strength and 5 out of 10 to its profitability.
On Wall Street, the stock has a median recommendation rating of buy and an average target price of $17 per share.
Donald Smith & Co. is the company's top fund holder with 4.40% of shares outstanding. It is followed by Morgan Stanley with 2.77% and Aristotle Capital Boston LLC with 2.28%.
Zepp Health
The third stock that qualifies is Zepp Health Corp. (ZEPP, Financial), a Hefei, China-based manufacturer of wearable smart devices.
The stock was trading at $8.4 per share as of early trading on Tuesday, which is below the intrinsic value of $8.43 from the discounted cash flow model, yielding a 0.36% margin of safety.
The share price has dropped 34.51% over the past year, determining a market capitalization of $527.52 million and a 52-week range of $7.85 to $20.25.
GuruFocus has assigned a score of 6 out of 10 to the company's financial strength and its profitability.
On Wall Street, the stock has a median recommendation rating of buy and an average target price of $13.06 per share.
Wells Fargo & Co./MN dominates the group of top fund holders of the company, owning 9.73% of shares outstanding. FIL Ltd. is second in the group with 3.26% of shares outstanding, followed by Goldman Sachs Group Inc. with 2.54%.
