As the United Kingdom’s FTSE 100 index recently experienced a downturn due to weak trade data from China, market participants are closely watching global economic indicators that could impact investment decisions. In such an environment, identifying stocks that may be trading below their estimated value can offer potential opportunities for investors looking to navigate these uncertain times.

Name

Current Price

Fair Value (Est)

Discount (Est)

Victorian Plumbing Group (AIM:VIC)

£0.678

£1.29

47.5%

ProCook Group (LSE:PROC)

£0.30

£0.56

46.8%

Pan African Resources (LSE:PAF)

£0.918

£1.83

49.9%

PageGroup (LSE:PAGE)

£2.338

£4.52

48.3%

Forterra (LSE:FORT)

£1.73

£3.23

46.4%

Essentra (LSE:ESNT)

£0.931

£1.70

45.3%

Begbies Traynor Group (AIM:BEG)

£1.12

£2.20

49%

Barratt Redrow (LSE:BTRW)

£3.788

£7.43

49%

Airtel Africa (LSE:AAF)

£3.05

£5.87

48%

Advanced Medical Solutions Group (AIM:AMS)

£2.095

£4.16

49.6%

Click here to see the full list of 53 stocks from our Undervalued UK Stocks Based On Cash Flows screener.

Here’s a peek at a few of the choices from the screener.

Overview: Barratt Redrow plc operates in the housebuilding sector within the United Kingdom and has a market capitalization of approximately £5.36 billion.

Operations: The company’s revenue is primarily derived from its housebuilding segment, which generated £5.58 billion.

Estimated Discount To Fair Value: 49%

Barratt Redrow is trading at a significant discount, with its stock price 49% below estimated fair value and more than 20% undervalued based on discounted cash flow analysis. Despite recent executive changes, the company reported strong financial results with sales of £5.58 billion and net income of £186.4 million for the year ending June 2025. However, its dividend yield of 4.65% is not well covered by earnings or free cash flows, indicating potential sustainability concerns.

LSE:BTRW Discounted Cash Flow as at Nov 2025 LSE:BTRW Discounted Cash Flow as at Nov 2025

Overview: Essentra plc manufactures and distributes plastic injection moulded, vinyl dip moulded, and metal items across Europe, the Middle East, Africa, the Americas, and the Asia Pacific with a market cap of £265.58 million.

Operations: Essentra’s revenue is derived from its operations in manufacturing and distributing plastic injection moulded, vinyl dip moulded, and metal items across various regions including Europe, the Middle East, Africa, the Americas, and the Asia Pacific.

Estimated Discount To Fair Value: 45.3%

Essentra is trading at a substantial discount, with its price 45.3% below fair value and significantly undervalued based on discounted cash flow analysis. Despite large one-off items affecting results, earnings surged by a very large amount last year and are projected to grow 38.4% annually, outpacing the UK market’s growth rate of 14.5%. However, revenue growth is modest at 4.8%, and return on equity is expected to remain low at 8.4%.

LSE:ESNT Discounted Cash Flow as at Nov 2025 LSE:ESNT Discounted Cash Flow as at Nov 2025

Overview: Wickes Group plc is a UK-based retailer specializing in home improvement products and services, with a market cap of approximately £507.79 million.

Operations: The company generates revenue from its operations in the UK through the retail of home improvement products and services, amounting to £1.58 billion.

Estimated Discount To Fair Value: 29.7%

Wickes Group is significantly undervalued, trading 29.7% below its estimated fair value of £3.08 per share, based on discounted cash flow analysis. Despite large one-off items impacting financials, earnings are forecast to grow at a robust 25.1% annually, surpassing the UK market’s growth rate of 14.5%. However, revenue growth remains modest at 4.5%, and its dividend yield of 5.02% is not well covered by earnings, posing potential sustainability concerns.

LSE:WIX Discounted Cash Flow as at Nov 2025 LSE:WIX Discounted Cash Flow as at Nov 2025

This article by Simply Wall St is general in nature. 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. 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.

Companies discussed in this article include LSE:BTRW LSE:ESNT and LSE:WIX.

This article was originally published by Simply Wall St.

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