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Top Undervalued Stocks This Week

Undervalued companies, such as Tiong Seng Holdings and AEM Holdings, trade at a price less than their true values. Investors can determine how much a company is worth based on how much money they are expected to make in the future, or compared to the value of their peers. The list I’ve put together below are of stocks that compare favourably on all criteria, which potentially makes them good investments if you believe the price should eventually reflect the stock’s actual value.

Tiong Seng Holdings Limited (SGX:BFI)

Tiong Seng Holdings Limited, together with its subsidiaries, operates as a building construction and civil engineering contractor. Tiong Seng Holdings was established in 1959 and with the company’s market cap sitting at SGD SGD178.01M, it falls under the small-cap group.

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BFI’s stock is now floating at around -38% lower than its actual value of $0.64, at the market price of S$0.40, based on its expected future cash flows. The mismatch signals a potential chance to invest in BFI at a discounted price. In addition to this, BFI’s PE ratio stands at around 5.17x while its Construction peer level trades at, 12.49x indicating that relative to its competitors, you can purchase BFI’s stock for a lower price right now. BFI is also in good financial health, with near-term assets able to cover upcoming and long-term liabilities. It’s debt-to-equity ratio of 21.49% has been diminishing for the last couple of years signifying BFI’s capacity to reduce its debt obligations year on year. Dig deeper into Tiong Seng Holdings here.

SGX:BFI PE PEG Gauge Jun 18th 18
SGX:BFI PE PEG Gauge Jun 18th 18

AEM Holdings Ltd (SGX:AWX)

AEM Holdings Ltd, an investment holding company, provides solutions in equipment systems; and precision components and related manufacturing services for various industries. AEM Holdings is currently run by Yean Chok. With the stock’s market cap sitting at SGD SGD316.06M, it comes under the small-cap group

AWX’s shares are currently floating at around -71% beneath its actual worth of $4.09, at the market price of S$1.17, 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, AWX’s PE ratio stands at 8.64x against its its Semiconductor peer level of, 10.83x implying that relative to its comparable company group, you can buy AWX for a cheaper price. AWX is also a financially robust company, with current assets covering liabilities in the near term and over the long run. AWX also has a miniscule amount of debt on its balance sheet, which gives it headroom to grow and financial flexibility. Interested in AEM Holdings? Find out more here.

SGX:AWX PE PEG Gauge Jun 18th 18
SGX:AWX PE PEG Gauge Jun 18th 18

ISDN Holdings Limited (SGX:I07)

ISDN Holdings Limited, an engineering solutions company, provides integrated precision engineering and industrial computing solutions in Singapore, the People’s Republic of China, Malaysia, and internationally. Established in 1986, and now led by CEO Cher Teo, the company size now stands at 809 people and with the stock’s market cap sitting at SGD SGD84.86M, it comes under the small-cap group.

I07’s shares are currently hovering at around -20% beneath its actual worth of $0.27, at a price tag of S$0.21, based on its expected future cash flows. signalling an opportunity to buy the stock at a low price. In terms of relative valuation, I07’s PE ratio is trading at 6.52x while its Electrical peer level trades at, 18.67x indicating that relative to its peers, you can buy I07’s shares at a cheaper price. I07 is also strong financially, with short-term assets covering liabilities in the near future as well as in the long run. Finally, its debt relative to equity is 8.27%, which has been reducing over time, showing I07’s ability to pay down its debt. Interested in ISDN Holdings? Find out more here.

SGX:I07 PE PEG Gauge Jun 18th 18
SGX:I07 PE PEG Gauge Jun 18th 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.