<div id="readability-page-1"><div><p>As major U.S. stock indexes experience a rebound following a losing week, with the Nasdaq and S&amp;P 500 showing gains, investors are closely monitoring the market amid concerns over a potential government shutdown. In this environment, identifying undervalued stocks can present opportunities for investors seeking to capitalize on potential price corrections when market conditions stabilize.</p><h3>Top 10 Undervalued Stocks Based On Cash Flows In The United States</h3><table><tbody><tr><td><strong>Name</strong></td><td><strong>Current Price</strong></td><td><strong>Fair Value (Est)</strong></td><td><strong>Discount (Est)</strong></td></tr><tr><td>XPEL (XPEL)</td><td>$32.35</td><td>$62.95</td><td>48.6%</td></tr><tr><td>Udemy (UDMY)</td><td>$7.04</td><td>$13.67</td><td>48.5%</td></tr><tr><td>Royal Gold (RGLD)</td><td>$196.71</td><td>$384.55</td><td>48.8%</td></tr><tr><td>Northwest Bancshares (NWBI)</td><td>$12.52</td><td>$24.41</td><td>48.7%</td></tr><tr><td>NeuroPace (NPCE)</td><td>$10.20</td><td>$20.04</td><td>49.1%</td></tr><tr><td>Metropolitan Bank Holding (MCB)</td><td>$76.33</td><td>$150.26</td><td>49.2%</td></tr><tr><td>Horizon Bancorp (HBNC)</td><td>$16.20</td><td>$31.76</td><td>49%</td></tr><tr><td>Customers Bancorp (CUBI)</td><td>$67.45</td><td>$131.16</td><td>48.6%</td></tr><tr><td>Ategrity Specialty Insurance Company Holdings (ASIC)</td><td>$19.52</td><td>$38.76</td><td>49.6%</td></tr><tr><td>AbbVie (ABBV)</td><td>$220.61</td><td>$438.05</td><td>49.6%</td></tr></tbody></table><p>Click here to see the full list of 195 stocks from our Undervalued US Stocks Based On Cash Flows screener.</p><p>Below we spotlight a couple of our favorites from our exclusive screener.</p><h2>First Advantage (FA)</h2><p><strong>Overview:</strong> First Advantage Corporation offers employment background screening and identity verification solutions globally, with a market cap of approximately $2.67 billion.</p><p><strong>Operations:</strong> The revenue segments for First Advantage include employment background screening and identity verification solutions, contributing significantly to its global operations.</p><p><strong>Estimated Discount To Fair Value:</strong> 44.1%</p><p>First Advantage is trading at a significant discount, with its stock price of US$15.37 well below the estimated fair value of US$27.47. Despite recent financial challenges, including a net loss and basic loss per share increase, the company anticipates revenue growth at 12.1% annually, outpacing the broader US market's 9.7%. Analysts expect profitability within three years, indicating potential for strong future cash flows despite current debt coverage concerns from operating cash flow.</p><ul><li>The analysis detailed in our First Advantage growth report hints at robust future financial performance.</li><li>Delve into the full analysis health report here for a deeper understanding of First Advantage.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/c158d78a-3d87-4231-92ea-3efd7a0c50ea/chart/dcf/query-dGhlbWU9bGlnaHQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/c158d78a-3d87-4231-92ea-3efd7a0c50ea/chart/dcf/query-dGhlbWU9bGlnaHQ"/><figcaption>FA Discounted Cash Flow as at Sep 2025</figcaption></figure><h2>Texas Capital Bancshares (TCBI)</h2><p><strong>Overview:</strong> Texas Capital Bancshares, Inc. is a bank holding company for Texas Capital Bank, providing full-service financial solutions to businesses, entrepreneurs, and individual customers with a market cap of approximately $3.96 billion.</p><p><strong>Operations:</strong> The company's revenue segment is primarily derived from its Banking operations, generating approximately $936.95 million.</p><p><strong>Estimated Discount To Fair Value:</strong> 26.7%</p><p>Texas Capital Bancshares is trading at US$86.51, significantly below its estimated fair value of US$118.1, representing over a 20% discount. The company's earnings are projected to grow substantially at 35.1% annually, outpacing the broader US market's growth rate of 15.4%. Despite recent net charge-offs of $13 million and a forecasted low return on equity in three years, its strong earnings trajectory underscores potential undervaluation based on cash flows.</p><ul><li>According our earnings growth report, there's an indication that Texas Capital Bancshares might be ready to expand.</li><li>Unlock comprehensive insights into our analysis of Texas Capital Bancshares stock in this financial health report.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/0f53d904-6646-4123-b0d3-0c6bd05d57b0/chart/dcf/query-dGhlbWU9bGlnaHQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/0f53d904-6646-4123-b0d3-0c6bd05d57b0/chart/dcf/query-dGhlbWU9bGlnaHQ"/><figcaption>TCBI Discounted Cash Flow as at Sep 2025</figcaption></figure><h2>SouthState Bank (SSB)</h2><p><strong>Overview:</strong> SouthState Bank Corporation, with a market cap of approximately $10.24 billion, operates as the bank holding company for SouthState Bank, National Association, offering a variety of banking services and products to individuals and businesses across the United States.</p><p><strong>Operations:</strong> SouthState Bank generates revenue primarily through its General Banking segment, which accounts for $2.06 billion.</p><p><strong>Estimated Discount To Fair Value:</strong> 19.2%</p><p>SouthState Bank, trading at US$101.17, is undervalued relative to its fair value estimate of US$125.14. Recent earnings growth of 23.7% and a forecasted annual profit increase of 23% highlight potential undervaluation based on cash flows. Despite shareholder dilution and significant insider selling recently, the bank's revenue is expected to grow faster than the broader market at 12.3% annually, supported by strategic leadership changes enhancing operational capabilities in key markets.</p><ul><li>Our expertly prepared growth report on SouthState Bank implies its future financial outlook may be stronger than recent results.</li><li>Navigate through the intricacies of SouthState Bank with our comprehensive financial health report here.</li></ul><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/0d3e334c-e735-46a1-a737-ba0f8b7a6c83/chart/dcf/query-dGhlbWU9bGlnaHQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/0d3e334c-e735-46a1-a737-ba0f8b7a6c83/chart/dcf/query-dGhlbWU9bGlnaHQ"/><figcaption>SSB Discounted Cash Flow as at Sep 2025</figcaption></figure><h2>Next Steps</h2><ul><li>Get an in-depth perspective on all 195 Undervalued US Stocks Based On Cash Flows by using our screener here.</li><li>Are you invested in these stocks already? Keep abreast of every twist and turn by setting up a portfolio with Simply Wall St, where we make it simple for investors like you to stay informed and proactive.</li><li>Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets.</li></ul><h2>Interested In Other Possibilities?</h2><ul><li>Explore high-performing small cap companies that haven't yet garnered significant analyst attention.</li><li>Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.</li><li>Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.</li></ul> <p><em> This article by Simply Wall St is general in nature. <strong>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.</strong> 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.</em></p></div></div>

TCBI

<p>As U.S. stock indexes rebound, investors are identifying undervalued stocks for potential opportunities. Notable mentions include First Advantage (FA), trading at $15.37 with a 44.1% discount to its fair value of $27.47, and Texas Capital Bancshares (TCBI), trading at $86.51 with a 26.7% discount to its fair value of $118.1. SouthState Bank (SSB) is also highlighted, trading at $101.17 with a 19.2% discount to its fair value of $125.14. These stocks show promising growth potential despite current market challenges.</p>

3 Stocks Estimated To Be Undervalued By Up To 44.1% Offering Potential Opportunities