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4 Undervalued Stocks to Buy After Moves Last Week

Man considering whether to sell or buy
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Motley Fool investors looking for some undervalued stocks need look no further. Undervalued stocks made major moves in the market. Not just from the share price, but through key fundamentals investors should be watching. Not simply popularity. So with that in mind, here are four undervalued stocks to consider.

Tilray

Tilray (TSX:TLRY)(NYSE:TLRY) made headlines this week after making a major acquisition purchase. The company bought up MedMen in an acquisition worth US$166 million, giving it a direct line into the United States. U.S. cannabis legalization in the future means the company is now set up. That’s thanks to the company’s legal medical marijuana production.

Shares of Tilray stock were up 5% after the news, but remain lower since coming on the market this year. That makes it one of the undervalued stocks to consider. This comes after the already prudent merger with Aphria stock. Tilray stock is expecting great things, it seems, making it a stock to pay attention to. Especially after last week’s move.

Sun Life Financial

Sun Life Financial (TSX:SLF)(NYSE:SLF) has become one of the first federally regulated institutions in the country to state its 12,000 employees must receive a vaccination before returning to work. The company has already tried a return to work program but now requires that anyone returning to work must be fully vaccinated.

It’s unclear whether this will hit the markets well or not. Being the first shows support for the mandatory vaccination program put forth by the federal government for certain sectors. However, it also means it will likely be making mistakes along the way that others may avoid. So definitely keep an eye on this stock for now, as it could be one of the undervalued stocks you don’t want to miss.

BlackBerry

BlackBerry (TSX:BB)(NYSE:BB) had a cybersecurity flaw identified in the company’s QNX software this week. But before you sell everything, analysts actually upgraded the stock. That’s because BlackBerry stock proved the company’s QNX software can actually face the challenge and emerge unscathed.

BlackBerry stock and its QNX platform are easy to change, so the company simply upgraded it and told clients to upgrade from older versions. BlackBerry stock came away even better from the vulnerability and is now growing the security practice, creating more opportunities. These long-term growth prospects had analysts moving the company from “sell” to “hold.”  That could make it one of the undervalued stocks you could buy now for strong long-term growth.

Pembina Pipeline

Finally, Motley Fool investors should continue to add some pipeline companies to their portfolios. Of those, Pembina Pipeline (TSX:PPL)(NYSE:PBA) is a great option among undervalued stocks, especially after this week. The company stepped up to the plate to try and acquire Inter Pipeline again, with its deadline looming.

But the company has other long-term projects analysts are also excited about, including the Alberta Carbon Grib carbon capture program and its Cedar LNG Project. Shares are up 19% this year alone, but analysts believe it has a potential upside of at least 7%. That makes it one of the undervalued stocks based on share price alone! So Motley Fool investors should consider it while they can.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Amy Legate-Wolfe owns shares of PEMBINA PIPELINE CORPORATION. The Motley Fool recommends BlackBerry and PEMBINA PIPELINE CORPORATION.

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