A1's Top 5 Most Undervalued "U.S. Traded" Stocks, By Our DDDD: (Deep Dive Due Diligence)
5 Stocks With Undeniable
Massive Upside Potential
Updated Jan 11th, 2025
Let's begin by saying that any investment is risky. When you invest, only do so on your own due diligence. Anything can happen: When Covid news went worldwide in March 2020,
even the greats tumbled. Tesla fell to $103. Boeing fell to $113 pre-market. The Stock Market can be quite irrational.
Having said that, we envision a day where most things become as they should be.
In the SM (Stock Market), sometimes there are extremely illogical moves, both upwards and downwards.
Here are our current top 5 most undervalued stocks, after our deep dive of due diligence, that can relatively easily increase 7x to 20x or more, this week:
#1 HKD AMTD Digital Inc (NYSE)
The ALL TIME record setting stock, ($10 to $2,550 in 3 days) is saw a 12% rise since we first posted. More is overdue.
--Stock Bargains like this come around very rarely.
We'll post our analysis, but first, here's what other Analyst Groups are saying, and we'll quote:
1) Stockscan: "The Amtd Digital Inc Adr (HKD) stock price forecast for the next 30 days is generally positive, with an average analyst price target of $493.94, representing a +17,000+% increase from the current price of $2.62.
The highest analyst price target is $502.45, and the lowest is $485.42."
2) The Wall Street Journal itself has LISTED a calculated fair price $16.75/sh, but they have not updated the new financial data, & earnings surprise, so 1.88x =$31.49
3) SimplyWallSt says "Price-To-Earnings ratio (8.4x) is below the US market (19x). Earnings grew by 88.6% over the past year
-
Net income: US$31.9m (up 188% from 1H 2023).
-
For HKD's industry, though, the PtE ratio industry average is 42.2x...giving HKD a Fair Value of $13.75/share
4) WallStreetZen: "HKD ($2.62) is trading below its intrinsic value of $7.78, according to an updated version of Benjamin Graham's Formula from Chapter 11 of "The Intelligent Investor."
In closing of our piers' views, the top 4 trusted evaluators have a range from $8.03 up to $493.94, the average is about $251,
using just the bottom 3, the weighted average is $17.76/sh.
Now, our due diligence and catalysts:
A) Two 2024 blockbuster movies have been released,
they are: 1) "The Last Dance" (in Chinese it's 打破地獄a or "Breaking Hell" ) is being lauded as a masterpiece,
which was released Friday, Nov 9th, and 9 all time movie sales records were set, it had a phenomenal first month of sales,
a last reported total of $155 million HKD to end 2024.
The story of "Breaking Hell" is set in the period when Covid is raging. In this environment full of challenges and variables, the protagonist of the film, wedding planner Wei Daosheng
(played by Dayo Wong), encountered a major turning point in his career. He was originally focused on planning happy weddings, but due to the impact of the epidemic, he was forced to change his career and became a funeral agent (!!). For him, this change is not only a change of career, but also a huge impact on his attitude towards life and values.
2) "A Cover-up" which is based on a real story, which explores people's struggles when facing their true inner selves. It uncovers the dark side of human nature, and reveals the difficulties of climbing up the social ladder. (I prefer this
one to a romance, but that's just me!) Release date was 11-16.
No sales numbers have been released yet.
--HKD completed its new Fiscal Year on Oct 31st, the suspected
massive Earning Report (ER) is set on a 6 month interval,
nd has been since the IPO. Jan 16th is the expected deadline, keeping in rhythm with their July 16th ER release.
All HKD shareholders are eagerly awaiting the final numbers from the record setting "Mission Moscow", "The Goldfinger",and "White Storm".
2023 numbers (only a few months, the movies were Fall releases) were ¥600m, ¥466M, and ¥422m respectively.
Yuan to USD exchange rates fluctuate, as of this writing
that equals:
-
$82.8 million USD
-
$64.3 million USD
-
$58.3 million USD
>>Those figures are 10.9% lower than when the sales occurred, so 2023 revenue for the 3 would be $227,270,000.
As an explanatory note, SimplyWallST has it wrong--they didn't
read the filing which states a shift: "On April 30, 2024, the board of directors of AMTD Digital Inc. approved a change of fiscal year end from April 30 to October 31.".
Meaning? The massive movie sales, revamped hotel sales,
newly acquired "The Art Newspaper" and newly acquired L'Officiel's sales have not yet been reported, nor have the $70m in share buybacks, which completed in Q1 2024.
The new float will be between 4 & 6 million, down from 27m.
Again, Thursday, Jan 16th the ER is expected. That ER should be quite exhilarating to HKD shareholders!...As it is believed to be many times what it was in 2023's (Nov '22-Oct '23) Covid plagued period.
HKD is quite RIDICULOUSLY attractive at the current $2.62 share price, we feel with the imminent ER it is easily 1/10 th of the true value, if not more.
History has shown, when an aggressive upward push appears, this stock can skyrocket in a flash. We've watched it jump $3 whole dollars per share in seconds many, many times, and the stock is much more valuable now, with the 3 fabulous movies,
(Not counting the 2024 all time HK Movie "The Last Dance"!)
(L'Officiel magazine, "The Art Newspaper" (this ER will have its full Half sales as well) music star events, and hotel empires
it has built.
-The NEW China stimulus package of yuan (equaling about $1.07 trillion USD), clearly helps parent company AMTD,
with the Airstar Bank relationship.
It will "trickle down" in 2025 and clearly greatly boost spending on movies, hotels, and fashion items which HKD provides.
Lastly, in the fiscal year ending April 30, 2023, AMTD Digital's annual revenue was $33.07 million, reflecting a 30.85% increase YOY, the items mentioned above should greatly increase that to 70%, (keeping it modest.)
Curr=$2.62-- PT=$34/sh (1,297% upside potential)
#2 CRKN Crown ElectroKinetics Corp
Clearly now, #2 belongs to Crown. With an insanely deflated price at under .11 per share, dragged down for no apparent reason at all. As Finviz posts: "$1.48 BV and .05/share in cash alone"-- paired with the stunning PR recently:
"Crown Announces Plans to Build and Co-Own Reverse Osmosis Plant in Mexico to Desalinate Water Collected from Slant Wells." Folks don't understand how huge this is, providing clean drinking water to a country elevates this tiny Nasdaq company into a major player. Once the word gets out, this company rakes
in the billions. Other seemingly ignored recent PRs were:
"Crown Expands Fiber Optics Services Footprint With Leading Regional Internet Provider in Oregon", and possibly the
greatest: "Crown Highlights Trump Administration Potential Impact on Its Water Solutions Division." This company has big plans, and
we see the big potential gains clearly.
The company has 2 large equity LOCs, so we must trim the realistic prediction in half of what would be normal:
Curr .105 NEW PT =$.45 (428% upside potential.)
#3 LGMK LogicMark, Inc
This one could be the largest riser in the entire SM over
the next few days. It has all the right things we consistently see for penny stocks that explode:
-Recent RS, any day now it will have its "RS Spike" reversal
-"Strong Q3 2024 Results Led by Double-Digit Growth in Year-Over-Year Sales and Gross Profit" was their recent ER PR.
-Micro float. Standing at just 490K, this is a clear "rocket"
or "to the moon" candidate.
-High short float. Fluctuates up to as much as 1500%.
Curr= $1.43---PT =$4 (180% upside potential.)
#4 SBFM Sunshine Biopharma Inc
---SBFM recently "woke up", it shot up to $3.50--
They recently posted a PR about their new liver disease drug:
"The newly launched drug is Ursodiol, a generic version of URSO DS®. Ursodiol, also known as ursodeoxycholic acid (UDCA), is indicated for the management of cholestatic liver diseases, including primary biliary cirrhosis (PBC). Ursodiol is also used to (i) dissolve gallstones in people who do not want surgery or cannot have surgery to remove gallstones, or (ii) prevent the formation of gallstones in overweight people engaged in a rapid weight loss program."
SBFM's revenue is increasing QoQ, last Q was a 67% increase.
Friday, InsiderMonkey.com posted a similarly positive review with
a $15 pt. We think that's low, here's why: First of all, via Finviz, it holds a $12.52 Book Value, and they're notoriously low on most stocks actual price, even if technically correct. That does not include the massive Niopeg market soon to be open, combatting Neulasta for that $88 million market...in Canada alone. Florida laws were passed in January allowing Canadian generic drugs to be sold, SBFM's will be available there soon. UPDATE:
Sunshine Biopharma Has Launched Twelve New Generic Prescription Drugs in 2024: Now Marketing 64 Generic Drugs in Canada
-Sales in 2023 grew to a total of $24,092,787, primarily as a result of a full year of revenues generated by the acquisition of Nora Pharma in October 2022. Nora Pharma's revenues for its fiscal year ended June 30, 2022, were $10,766,982.
-The average 2023 quarter-over-quarter growth in sales was 14%.
-Loss per share decreased from a negative $1.76 per share in 2022 to a negative $0.19 per share in 2023. Neg 9 cents this last quarter, from sales...an astounding improvement.
-SBFM had a sales surprise over guidance of 25%+ the last 2 quarters, and is growing 8% in marketed drugs per the PR.
(In contrast --Pfizer(PFE) had a negative .84% and dropped only 6% in the same timeframe, where SBFM dropped a whopping 721% )
-SBFM had $6.6 million in GP on 2023, a 488% growth YOY(!).
-Expenses decreased 54% YOY(!)
-Again, we must reiterate, as it is so important--SBFM has an extremely attractive, tiny float of $1.22 million shares, the top ingredient for a "BOOM".
-April 5th SBFM had the equivalent share price of $236.80/sh
and that was before the extra drugs added,
and the NIOPEG news.
The company is FLUSH with cash, $4.51/per share-- CASH ALONE. Quite undervalued at just the current price for their earnings,
and future potential.
-SBFM is EXTREMELY good value based on its book value relative to its share price, compared to the US Drug Manufacturers' Specialty & Generic industry average.
Extrapolate that out with the 25.375x multiple, that comes to $41.65/share.
SBFM just received Nasdaq notice of Compliance, so they're good
on that front as well. What holds them down is angry shareholders, both past and present.
CAUTION They just filed a "Mixed Shelf" offering.
Curr= $2.97---PT =$8 (269% upside potential.)
#5 SYTA Siyata Mobile Inc. Since the RS on Friday, Aug 2nd,
the stock has plummeted 80%, then rocketed 100%+, mostly due to their Verizon partnership, and large sales reports.
"Siyata Mobile Expands Presence in Mining Vertical with Order for SD7 Handsets from a Global Mining Company".
This has absolute potential for a ROCKETSHIP RUNNER, especially with Marc Seelenfreund, CEO of Siyata, saying: "Siyata is in the best position it's been in since our company's inception, as our capital expenditures have directly improved all performance metrics, and we look forward to delivering continued successful results. Please tune into our upcoming press conference, which will highlight a next level shareholder value creation event that you surely won't want to miss." We can't wait Marc!-Unfortunately,
they just postponed it indefinitely last Wednesday. This is seen
as unsurety by many investors...
Curr=$7.40 PT =$9.62 (140% upside potential.)