Automated analysis from WarrenAI has singled out three stocks it views as materially undervalued, each carrying projected upside north of 60% while trading at forward price-to-earnings ratios under 13x. The trio covers the direct-to-consumer, digital advertising and IT services sectors and pairs modest valuation multiples with strong fundamental metrics and analyst support.
Overview of the picks
WarrenAI ranks Betterware de México (NYSE:BWMX), Criteo S.A. (NASDAQGS:CRTO) and EPAM Systems (NYSE:EPAM) as the top opportunities. According to the data cited, all three names share Piotroski Scores of 6 or higher, a sign of above-average financial health by that measure. Analysts have issued bullish recommendations and target prices that imply further upside from current market levels.
Betterware de México (BWMX)
- The stock is presented with 62.3% upside potential and a forward P/E of 10.8x.
- Betterware offers a 3.6% dividend yield and carries an EPS growth forecast of 55.6%.
- Leverage is notable, with a debt-to-equity ratio of 401.4%, but the company is described as having strong cash flow and a Piotroski Score of 6.
- Analysts classify the equity as a Strong Buy and place price targets up to $30.19.
WarrenAI summarizes BWMX as combining high yield, growth and deep value, while also flagging elevated leverage as a balance-sheet consideration.
Criteo S.A. (CRTO)
- Criteo appears at a forward P/E of 4.0x with 61.8% upside potential according to WarrenAI.
- The company posts a Piotroski Score of 8 and a free cash flow yield of 22.3%, and it carries minimal debt.
- Analyst price targets reach $43.00, which the data suggests represents more than 43% appreciation from current levels.
WarrenAI characterizes Criteo as dirt-cheap and cash positive, while the analysis notes the stock may be sensitive to cyclicality in advertising spending patterns.
EPAM Systems (EPAM)
- EPAM is listed with 62.2% upside and a forward P/E of 10.3x.
- The company projects 86.7% EPS growth and reports a return on invested capital of 12.4%.
- Its debt-to-equity ratio is 3.9%, one of the lowest in this group.
- Seventeen analysts have issued Strong Buy ratings, and the highest price target among them is $275.
WarrenAI notes EPAM's valuation appears attractive but underscores that the company depends on persistent demand in the technology sector to realize the forecasted upside.
Analyst context and broader observations
All three companies are highlighted for pairing low forward multiples with favorable fundamental indicators such as strong Piotroski Scores, high free cash flow yields or robust EPS growth forecasts. Analysts have generally rated these stocks strongly, and WarrenAI's characterizations emphasize value, cash generation and growth potential while pointing to risks specific to each business.
Model-driven stock evaluation note
The piece also mentions an AI-driven screening tool that evaluates EPAM among thousands of companies using over 100 financial metrics, designed to generate stock ideas based on fundamentals, momentum and valuation. That tool is described as unbiased and identifies stocks with attractive risk-reward profiles based on current data.
Takeaway
WarrenAI's selections highlight value opportunities across consumer, advertising and IT services sectors by emphasizing low forward P/E multiples, analyst optimism and measurable financial strengths. Each recommendation is accompanied by specific risks the model flags, making clear that discounted prices reflect both opportunity and company-specific vulnerabilities.