A stock that you can buy at a price below what it is worth is considered undervalued. This is the case for Tidewater Midstream and Infrastructure and Q Investments. Investors can profit from the difference by investing in these stocks as the current market prices should eventually move towards their true values. If capital gains are what you’re after in your next investment, I’ve put together a list of undervalued stocks you may be interested in, based on the latest financial data from each company.

Tidewater Midstream and Infrastructure Ltd. (TSX:TWM)

Tidewater Midstream and Infrastructure Ltd. Tidewater Midstream and Infrastructure was formed in 2015 and with the stock’s market cap sitting at CAD CA$500.04M, it comes under the small-cap group.

TWM’s shares are now trading at -40% under its real value of $2.51, at a price tag of $1.5, according to my discounted cash flow model. signalling an opportunity to buy the stock at a low price. In addition to this, TWM’s PE ratio stands at 29.6x while its oil and gas peer level trades at 16.3x, suggesting that relative to its comparable set of companies, we can buy TWM’s stock at a cheaper price today. TWM is also a financially robust company, with near-term assets able to cover upcoming and long-term liabilities.

Q Investments Ltd. (TSXV:QI)

Q Investments Ltd. is a venture capital firm specializing in investments in early stage. Q Investments was established in 1980 and has a market cap of CAD CA$612.02K, putting it in the small-cap group.

QI’s stock is now hovering at around -94% lower than its value of $3.34, at a price tag of $0.2, according to my discounted cash flow model. signalling an opportunity to buy the stock at a low price. Moreover, QI’s PE ratio is trading at 1.2x relative to its capital markets peer level of 12.7x, suggesting that relative to other stocks in the industry, we can buy QI’s stock at a cheaper price today. QI is also a financially healthy company, with near-term assets able to cover upcoming and long-term liabilities.

The Caldwell Partners International Inc. (TSX:CWL)

The Caldwell Partners International Inc. provides executive search consulting services in Canada, the United States, and Europe. Founded in 1962, and headed by CEO John Wallace, the company size now stands at 116 people and with the stock’s market cap sitting at CAD CA$22.24M, it comes under the small-cap stocks category.

CWL’s shares are now floating at around -60% less than its intrinsic value of $2.72, at the market price of $1.09, based on its expected future cash flows. This mismatch indicates a chance to invest in CWL at a discounted price. Moreover, CWL’s PE ratio is around 11.3x against its its professional services peer level of 24.3x, meaning that relative to its comparable set of companies, you can purchase CWL’s stock for a lower price right now. CWL is also a financially robust company, as near-term assets sufficiently cover liabilities in the near future as well as in the long run. CWL has zero debt on its books as well, meaning it has no long term debt obligations to worry about.

For more financially sound, undervalued companies to add to your portfolio, you can use our free platform to explore our 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.