Yahoo Finance Exploring Hidden Gems: Burckhardt Compression Holding And Two More Stocks On SIX Swiss Exchange
The Switzerland market recently experienced a slightly downward trend, closing with minimal losses after a day marked by cautious trading. This context of uncertainty, highlighted by the anticipation of key U.S. economic data, sets a prudent stage for investors to consider the potential of undervalued stocks like Burckhardt Compression Holding among others on the SIX Swiss Exchange. In such times, identifying stocks that are undervalued could offer opportunities for those looking to invest in assets with possible overlooked worth amid broader market hesitations.
Top 10 Undervalued Stocks Based On Cash Flows In Switzerland
Name | Current Price | Fair Value (Est) | Discount (Est) |
COLTENE Holding (SWX:CLTN) | CHF47.40 | CHF75.87 | 37.5% |
Burckhardt Compression Holding (SWX:BCHN) | CHF590.00 | CHF824.83 | 28.5% |
Julius Bär Gruppe (SWX:BAER) | CHF50.74 | CHF96.56 | 47.5% |
Sonova Holding (SWX:SOON) | CHF275.90 | CHF448.82 | 38.5% |
Temenos (SWX:TEMN) | CHF61.50 | CHF84.58 | 27.3% |
SGS (SWX:SGSN) | CHF80.28 | CHF122.88 | 34.7% |
Comet Holding (SWX:COTN) | CHF361.00 | CHF547.18 | 34% |
Medartis Holding (SWX:MED) | CHF69.10 | CHF120.47 | 42.6% |
Kudelski (SWX:KUD) | CHF1.415 | CHF1.87 | 24.3% |
Galderma Group (SWX:GALD) | CHF76.81 | CHF150.41 | 48.9% |
Let's uncover some gems from our specialized screener
Burckhardt Compression Holding
Overview: Burckhardt Compression Holding AG is a global manufacturer and seller of reciprocating compressors, with a market capitalization of approximately CHF 1.998 billion.
Operations: The company generates revenue through two primary segments: the Systems Division, which brought in CHF 642.81 million, and the Services Division, with revenues of CHF 339.15 million.
Estimated Discount To Fair Value: 28.5%
Burckhardt Compression Holding, priced at CHF 590, is considered undervalued with a DCF-based fair value of CHF 824.83, reflecting a significant discount. The company's earnings have grown by 28.7% over the past year and are projected to increase by 9.5% annually, outpacing the Swiss market's growth rate of 8.4%. Despite these positives, the dividend coverage by cash flows remains weak. Recent financial results showed robust year-over-year gains in sales and net income, supporting its undervalued status based on cash flows.
COLTENE Holding
Overview: COLTENE Holding AG is a company that develops, manufactures, and sells disposables, tools, and equipment for dentists and dental laboratories across various global regions, with a market capitalization of CHF 283.24 million.
Operations: The company generates revenue primarily through the sale of disposables, tools, and equipment for dental professionals, amounting to CHF 242.73 million.
Estimated Discount To Fair Value: 37.5%
COLTENE Holding, with a current price of CHF 47.4, trades below our DCF-based fair value estimate of CHF 75.87, suggesting significant undervaluation. Despite slower revenue growth forecasts at 2.8% annually compared to the Swiss market's 4.4%, COLTENE's earnings are expected to increase by a robust 20.86% per year, outperforming the market projection of 8.4%. However, its dividend coverage is weak and profit margins have declined from last year’s 9.7% to this year’s 4.9%.
Sonova Holding
Overview: Sonova Holding AG, with a market cap of CHF 16.45 billion, is a company that manufactures and sells hearing care solutions for adults and children across the United States, Europe, the Middle East, Africa, and the Asia Pacific.
Operations: Sonova generates revenue primarily through two segments: Cochlear Implants, which brought in CHF 282.40 million, and Hearing Instruments, contributing CHF 3.36 billion.
Estimated Discount To Fair Value: 38.5%
Sonova Holding AG, priced at CHF 275.9, is significantly undervalued with a DCF-based fair value of CHF 448.82, reflecting a 38.5% discount. While its revenue growth at 7.1% annually surpasses the Swiss market average of 4.4%, its earnings growth projection of 9.9% also outstrips the national figure (8.4%). Recent financials confirm robust performance with annual sales reaching CHF 3.63 billion and net income at CHF 609.5 million, supporting its strong cash flow position despite high debt levels.
Turning Ideas Into Actions
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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 SWX:BCHN SWX:CLTN and SWX:SOON.
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