Estimated Discount To Fair Value: 31.9%

Yanbu National Petrochemical is trading at SAR 37.3, significantly below its fair value estimate of SAR 54.81, suggesting it could be undervalued based on discounted cash flow analysis. The company reported a return to profitability this year with earnings expected to grow 27.8% annually, surpassing the Saudi Arabian market’s growth rate of 6%. However, its dividend yield of 4.69% is not well covered by earnings and revenue growth remains modest at 6.5% per year.

Overview: LEM Holding SA, along with its subsidiaries, offers solutions for measuring electrical parameters across various regions including China, Japan, South Korea, India, Southeast Asia, Europe, the Middle East, Africa, NAFTA and Latin America with a market cap of CHF895.37 million.

Operations: The company’s revenue is derived from two main segments: Asia, contributing CHF175.10 million, and Europe/Americas, generating CHF163.88 million.

Estimated Discount To Fair Value: 34.5%

LEM Holding is trading at CHF 786, significantly below its estimated fair value of CHF 1200.19, indicating potential undervaluation based on cash flow analysis. Despite recent earnings challenges, with net income dropping to CHF 8.58 million for the half-year ending September 2024, earnings are forecast to grow at a robust rate of 37.8% annually, outpacing the Swiss market’s growth rate. However, its dividend yield of 6.36% lacks coverage from current earnings and cash flows.

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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 ENXTAM:THEON SASE:2290 and SWX:LEHN.

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