Canadian Undervalued Stocks: Top 10 TSX Stocks Estimated to be 31.2% to 49.8% Below Intrinsic Value

Wednesday, Sep 3, 2025 8:53 am ET2min read

TSX Stocks Estimated To Be Up To 49.8% Below Intrinsic Value. As the Canadian economy faces a contraction, investors are focusing on undervalued stocks that may benefit from evolving financial conditions. Top 10 Undervalued Stocks Based On Cash Flows In Canada include Vitalhub, Versamet Royalties, TerraVest Industries, SSR Mining, Magellan Aerospace, K92 Mining, Ivanhoe Mines, goeasy, Discovery Silver, and BRP. Endeavour Mining and SSR Mining are trading at a significant discount to their estimated fair value, suggesting they may be undervalued based on cash flows.

As the Canadian economy faces a contraction, investors are increasingly focusing on undervalued stocks that may benefit from evolving financial conditions. According to a recent analysis by Simply Wall St, several TSX-listed companies are trading significantly below their estimated fair value, presenting potential investment opportunities. Here are some of the top undervalued stocks based on cash flows in Canada:

1. Vitalhub (TSX:VHI): Currently trading at CA$12.20, Vitalhub is estimated to have a fair value of CA$20.78, representing a 41.3% discount. The company's revenue growth is expected to outpace the Canadian market, making it an attractive option for investors seeking undervalued stocks.

2. Versamet Royalties (TSXV:VMET): Trading at CA$1.52, Versamet Royalties has an estimated fair value of CA$2.85, suggesting a 46.6% discount. The company's revenue growth is forecast to significantly exceed the Canadian market's growth rate, making it a potential investment opportunity.

3. TerraVest Industries (TSX:TVK): Currently priced at CA$142.50, TerraVest Industries has an estimated fair value of CA$272.19, representing a 47.6% discount. The company's earnings are expected to grow substantially, outpacing the Canadian market's growth rate.

4. SSR Mining (TSX:SSRM): Trading at CA$27.49, SSR Mining has an estimated fair value of CA$54.77, suggesting a 49.8% discount. The company's revenue growth is forecast to significantly exceed the Canadian market's growth rate, making it an attractive investment option.

5. Magellan Aerospace (TSX:MAL): Currently priced at CA$15.71, Magellan Aerospace has an estimated fair value of CA$28.58, representing a 45% discount. The company's earnings are expected to grow substantially, outpacing the Canadian market's growth rate.

6. K92 Mining (TSX:KNT): Trading at CA$15.64, K92 Mining has an estimated fair value of CA$27.92, suggesting a 44% discount. The company's revenue growth is forecast to significantly exceed the Canadian market's growth rate, making it a potential investment opportunity.

7. Ivanhoe Mines (TSX:IVN): Currently priced at CA$12.11, Ivanhoe Mines has an estimated fair value of CA$19.81, representing a 38.9% discount. The company's revenue growth is expected to outpace the Canadian market, making it an attractive investment option.

8. goeasy (TSX:GSY): Trading at CA$207.95, goeasy has an estimated fair value of CA$380.85, suggesting a 45.4% discount. The company's earnings are expected to grow substantially, outpacing the Canadian market's growth rate.

9. Discovery Silver (TSX:DSV): Currently priced at CA$4.39, Discovery Silver has an estimated fair value of CA$8.33, representing a 47.3% discount. The company's revenue growth is forecast to significantly exceed the Canadian market's growth rate, making it an attractive investment option.

10. BRP (TSX:DOO): Trading at CA$91.89, BRP has an estimated fair value of CA$162.64, suggesting a 43.5% discount. The company's earnings are expected to grow significantly, outpacing the Canadian market's growth rate.

Key Takeaways: The Canadian economy's contraction has led investors to focus on undervalued stocks that may benefit from potential monetary easing. Several TSX-listed companies are trading significantly below their estimated fair value, presenting potential investment opportunities. Investors should carefully evaluate these companies' fundamentals and growth prospects before making investment decisions.

References:
[1] https://finance.yahoo.com/news/3-tsx-stocks-estimated-44-123754294.html
[2] https://simplywall.st/stocks/ca/banks/tsx-vbnk/versabank-shares/news/3-tsx-stocks-estimated-to-be-up-to-498-below-intrinsic-value

Canadian Undervalued Stocks: Top 10 TSX Stocks Estimated to be 31.2% to 49.8% Below Intrinsic Value

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