While BATM Advanced Communications Ltd. (LON:BVC) might not have the largest market cap around , it received a lot of attention from a substantial price movement on the LSE over the last few months, increasing to UK£0.19 at one point, and dropping to the lows of UK£0.13. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether BATM Advanced Communications' current trading price of UK£0.14 reflective of the actual value of the small-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at BATM Advanced Communications’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.

We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.

What Is BATM Advanced Communications Worth?

According to our valuation model, BATM Advanced Communications seems to be fairly priced at around 12.13% above our intrinsic value, which means if you buy BATM Advanced Communications today, you’d be paying a relatively fair price for it. And if you believe the company’s true value is £0.13, there’s only an insignificant downside when the price falls to its real value. What's more, BATM Advanced Communications’s share price may be more stable over time (relative to the market), as indicated by its low beta.

See our latest analysis for BATM Advanced Communications

What does the future of BATM Advanced Communications look like?

Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. With revenues expected to grow by 37% over the next couple of years, the future seems bright for BATM Advanced Communications. If the level of expenses is able to be maintained, it looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation.

What This Means For You

Are you a shareholder? It seems like the market has already priced in BVC’s positive outlook, with shares trading around its fair value. However, there are also other important factors which we haven’t considered today, such as the financial strength of the company. Have these factors changed since the last time you looked at the stock? Will you have enough conviction to buy should the price fluctuates below the true value?