How can we identify undervalued growth stocks with strong potential?

To identify undervalued growth stocks with strong potential, we should focus on the following indicators: 1. **Earnings Growth Rate**: Look for stocks with a high net income year-on-year growth rate, such as CNO Financial Group (CNO) with a growth rate of 14,137.5%. This indicates a company with strong earnings growth potential. |code|stock code|stock name|last-price|last-change|Net Income year-on-year growth rate[20240331]|P/E(TTM)[20240610]|Interval Percentage Change[20230609-20240610]|market_code| |---|---|---|---|---|---|---|---|---| |CNO|CNO.N|CNO Financial Group|27.1800|-1.5574|14137.5|7.552612|16.005121638924454|169| |GEOS|GEOS.O|Geospace Technologies|10.2800|1.8831|13171.134020618556|8.575495|24.30471584038694|185| |NXTT|NXTT.O|Next Technology|3.2500|0.6192|11355.68017945842|0.407667|8233.333333333332|186| |LOB|LOB.N|Live Oak Bancshares|31.6800|-2.2825|6831.155778894473|14.093221|25.06908803789973|169| |CEPU|CEPU.N|Central Puerto|9.1400|4.6964|5078.710737918653|7.464686|27.83216783216783|169| |AOMR|AOMR.N|Angel Oak|12.0300|0.5853|2329.056603773585|6.52074|53.4438775510204|169| |TILE|TILE.O|Interface|15.1100|1.8194|2085.8543417366946|14.813149|89.11138923654566|185| |BALL|BALL.N|Ball|68.4000|-0.1022|1947.7777777777778|5.036735|28.52311161217589|169| |AIG|AIG.N|American|76.0200|0.0000|1939.0804597701149|10.543791|34.23980222496908|169| |JCTCF|JCTCF.O|Jewett-Cameron Trading|5.3700|-1.4679|1851.0046095444686|10.558243|14.989293361884373|186| 2. **P/E Ratio**: Stocks with a low P/E ratio may be undervalued. For instance, Next Technology (NXTT) has a P/E ratio of 0.41, suggesting it may be undervalued. |code|stock code|stock name|last-price|last-change|Net Income year-on-year growth rate[20240331]|P/E(TTM)[20240610]|Interval Percentage Change[20230609-20240610]|market_code| |---|---|---|---|---|---|---|---|---| |CNO|CNO.N|CNO Financial Group|27.1800|-1.5574|14137.5|7.552612|16.005121638924454|169| |GEOS|GEOS.O|Geospace Technologies|10.2800|1.8831|13171.134020618556|8.575495|24.30471584038694|185| |NXTT|NXTT.O|Next Technology|3.2500|0.6192|11355.68017945842|0.407667|8233.333333333332|186| |LOB|LOB.N|Live Oak Bancshares|31.6800|-2.2825|6831.155778894473|14.093221|25.06908803789973|169| |CEPU|CEPU.N|Central Puerto|9.1400|4.6964|5078.710737918653|7.464686|27.83216783216783|169| |AOMR|AOMR.N|Angel Oak|12.0300|0.5853|2329.056603773585|6.52074|53.4438775510204|169| |TILE|TILE.O|Interface|15.1100|1.8194|2085.8543417366946|14.813149|89.11138923654566|185| |BALL|BALL.N|Ball|68.4000|-0.1022|1947.7777777777778|5.036735|28.52311161217589|169| |AIG|AIG.N|American|76.0200|0.0000|1939.0804597701149|10.543791|34.23980222496908|169| |JCTCF|JCTCF.O|Jewett-Cameron Trading|5.3700|-1.4679|1851.0046095444686|10.558243|14.989293361884373|186| 3. **1-Year Percentage Change**: A significant positive percentage change over the last year can indicate a strong stock performance and potential. Live Oak Bancshares (LOB) has seen a 25.07% increase, which is impressive. |code|stock code|stock name|last-price|last-change|Net Income year-on-year growth rate[20240331]|P/E(TTM)[20240610]|Interval Percentage Change[20230609-20240610]|market_code| |---|---|---|---|---|---|---|---|---| |CNO|CNO.N|CNO Financial Group|27.1800|-1.5574|14137.5|7.552612|16.005121638924454|169| |GEOS|GEOS.O|Geospace Technologies|10.2800|1.8831|13171.134020618556|8.575495|24.30471584038694|185| |NXTT|NXTT.O|Next Technology|3.2500|0.6192|11355.68017945842|0.407667|8233.333333333332|186| |LOB|LOB.N|Live Oak Bancshares|31.6800|-2.2825|6831.155778894473|14.093221|25.06908803789973|169| |CEPU|CEPU.N|Central Puerto|9.1400|4.6964|5078.710737918653|7.464686|27.83216783216783|169| |AOMR|AOMR.N|Angel Oak|12.0300|0.5853|2329.056603773585|6.52074|53.4438775510204|169| |TILE|TILE.O|Interface|15.1100|1.8194|2085.8543417366946|14.813149|89.11138923654566|185| |BALL|BALL.N|Ball|68.4000|-0.1022|1947.7777777777778|5.036735|28.52311161217589|169| |AIG|AIG.N|American|76.0200|0.0000|1939.0804597701149|10.543791|34.23980222496908|169| |JCTCF|JCTCF.O|Jewett-Cameron Trading|5.3700|-1.4679|1851.0046095444686|10.558243|14.989293361884373|186| 4. **Industry Analysis**: Consider the industry a stock operates in. Angel Oak (AOMR), for example, is in the financial sector, which tends to have stocks with higher growth potential. |code|stock code|stock name|last-price|last-change|Net Income year-on-year growth rate[20240331]|P/E(TTM)[20240610]|Interval Percentage Change[20230609-20240610]|market_code| |---|---|---|---|---|---|---|---|---| |CNO|CNO.N|CNO Financial Group|27.1800|-1.5574|14137.5|7.552612|16.005121638924454|169| |GEOS|GEOS.O|Geospace Technologies|10.2800|1.8831|13171.134020618556|8.575495|24.30471584038694|185| |NXTT|NXTT.O|Next Technology|3.2500|0.6192|11355.68017945842|0.407667|8233.333333333332|186| |LOB|LOB.N|Live Oak Bancshares|31.6800|-2.2825|6831.155778894473|14.093221|25.06908803789973|169| |CEPU|CEPU.N|Central Puerto|9.1400|4.6964|5078.710737918653|7.464686|27.83216783216783|169| |AOMR|AOMR.N|Angel Oak|12.0300|0.5853|2329.056603773585|6.52074|53.4438775510204|169| |TILE|TILE.O|Interface|15.1100|1.8194|2085.8543417366946|14.813149|89.11138923654566|185| |BALL|BALL.N|Ball|68.4000|-0.1022|1947.7777777777778|5.036735|28.52311161217589|169| |AIG|AIG.N|American|76.0200|0.0000|1939.0804597701149|10.543791|34.23980222496908|169| |JCTCF|JCTCF.O|Jewett-Cameron Trading|5.3700|-1.4679|1851.0046095444686|10.558243|14.989293361884373|186| By combining these indicators and conducting thorough research on the company's fundamentals, market position, and future prospects, investors can make informed decisions about undervalued growth stocks with strong potential.