Over 21 months later, here's how /r/investing performed on the underrated stock survey. Inspired by Mr_Suzan and galloog1

[resjudicata]

PSTG
AMSC
DAIO
INOD
QMCO

 

[christian102]

@christianfrend I don’t know if the data accounts for it or not, but pretty sure JNUG underwent a 10:1 reverse split or two in that time period, inflating the actual gain %.

 

[julieann23]

@christianfrend Warren Buffett's real secret: Reddit

 

[elinternational]

@christianfrend Oh hey I'm on this list. I was repping Apple at the time because I DID think it was underrated. For years and even at the time this list was made Apple was trading at a PE multiple in the low teens or single digits.

I think people objectively assumed it had peaked and smartphone sales were declining.. which is true. But as MSFT reformed with cloud computing and subscription models, Apple has reformed with services.

This is not to gloat, I'm wrong about a lot, but I do find this an interesting snapshot into the past. I do believe that one day Apple will be worth 40-50 trillion, but not until far into the future. It just has the most robust moat I've ever seen around a company.

Today it is much more fairly valued than it was just a few years ago however, and it is no longer underrated as it was at the time I made my initial reply to OP.

If I had to call one today I'd actually say Berkshire Hathaway. It's trading at a Market Cap of 475 Billion which is cheap considering its stake in Apple alone is worth over 100 Billion, and it has approximately 135 Billion in cash on hand. It's a steal at $170 and under, which it has been at several points in the last few months.

The reason companies like Berkshire aren't trading at a high multiple is because it's not a sexy high growth tech company, and people are worried about Warren's health. But I think it's in capable hands even after he passes on, and if they retain their stake in Apple among the other great holdings they have it will become immensely more valuable as time moves on.

Fun tidbit, at the time of the writing of this comment Berkshire owns approximately 250 Million shares of Apple. Once the 4-1 stock split goes through on August 24th, they'll own the same amount of equity but now 1 Billion shares of Apple. Pretty insane to think about.

 

[vonabell]

@elinternational Apple is, in my opinion, the best poised to actually bring AR technology to mass consumer adoption. This is in part because of their knack for design, and a large fanbase, even for unconventional things like airpods (remember the memes about how it looks like ... I don't even remember what the meme said they look like now, that's how normal they've become), and in part because they already are in the prototype phase with their glasses (which were leaked in news articles as early as fall 2017). If this works out like the iPhone did, to usher in a new way of consuming digital content, you bet the market cap is going up up up.

 

[joshrbanate]

@vonabell Spoken like a true fanboy I think.

 

[vonabell]

@joshrbanate Is this an ad hominem attack? Hmm

Anyhow, in case you're serious, I'm more of a Microsoft fanboy. The truth is, however, regardless of how useful the Hololens and Mixed Reality might be, its price point and current offerings are more geared toward industrial and professional users. This isn't the road to mass adoption.