5 selected undervalued US stocks with strong performance! Even semiconductor stocks! Hidden AI and stocks with PBR below 1x, reassuring buying confidence and expectations for stock gains.

$Lam Research (LRCX.US)$
Expectations for medium to long-term share and performance expansion against the backdrop of an investment boom in AI.
●A semiconductor manufacturing equipment maker. It holds the world's top share in etching equipment and has the industry's largest 3D NAND equipment installation base. It established technological leadership in advanced encapsulation, essential for AI technology, at an early stage.
●Currently,(Note: JSR, excluding the chemical sector constituents of the Nikkei Semiconductor Stock Index (in weight order). Operating profit growth rate forecast, recent dividend yield, and analyst target stock price for Nippon Chemicals are based on Bloomberg data.)(Price-to-Earnings Ratio) is 20.3 times, below the 5-year average of 21.8 times (many semiconductor stocks are above the historical average).(Note: As of October 25th, according to Bloomberg, the PE for the next 12 months is as follows)
●The July-September quarter Adjusted EPS(Earnings Per Share) was $0.86, surpassing the market estimate of $0.81. The adjusted EPS forecast for the October to December period is $0.77 to $0.97, exceeding the market estimate of $0.84 at the median.
●The earnings of major customers, such as Samsung Electronics, were lackluster. $Taiwan Semiconductor (TSM.US)$ Both SK Hynix and AI semiconductors are performing well due to strong demand, with both companies indicating intentions to expand their facilities, which can be considered as a positive factor for Lam Research.
●During the earnings call on October 22nd, the management indicated that the momentum continues to build, and they expect to achieve performance surpassing the overall industry growth. Foundry and logic operations outside of China remain very strong, with a positive outlook for DRAM, including DDR5 and high-bandwidth memory for AI semiconductor memory.In 2025.TSMC continues to gain momentum and has demonstrated the ability to achieve performance higher than the overall industry growth. The most advanced foundry and logic technologies outside of China continue to perform well, and it is expected that DRAM, including DDR5 for AI semiconductor memory and high-bandwidth memory, will continue to show strong performance.
●There is a need to be cautious about the strengthened export regulations related to China's demand and exports, however.AIWith the benefit of the investment boom, market share expansion and performance growth can be expected in the medium to long term.

$NextEra Energy (NEE.US)$
Hidden AI-related stocks: With the AI boom, the demand for electricity is at a turning point, and there are hopes for the rapid expansion of demand for renewable energy.
●A renewable energy generation and distribution company. It generates electricity through wind, solar, and natural gas projects, and operates multiple commercial nuclear power plants.
●Currently,(Note: JSR, excluding the chemical sector constituents of the Nikkei Semiconductor Stock Index (in weight order). Operating profit growth rate forecast, recent dividend yield, and analyst target stock price for Nippon Chemicals are based on Bloomberg data.)It is 22.8 times, below the 5-year average of 25.7 times.
●The July-September quarter Adjusted EPSIt exceeded the market expectation of $0.97 by reaching $1.03. The net profit of NextEra Energy Resources, the renewable energy division, was $1.22 billion, a significant recovery from a loss of $0.23 billion in the same period last year. The backlog of orders for renewable energy and storage projects increased by 3 gigawatts.
●Amid the construction rush of AI data centersElectricity demand isIt is increasing, especially the demand for renewable energy is rapidly expanding (due to low costs). As a result, there is a possibility of a valuation increase in the medium to long term.
●The company expects the demand for electricity in the USA to increase by 55% from 2020 to 2040 due to the construction rush of AI datacenters. At the same time,Demand for renewable energyis expected to triple in the next 7 years. It is considered a significant business opportunity for the company.

$Netflix (NFLX.US)$
Solid increase in net profit subscribers + improved profitability with flexible pricing, looking forward to hit titles
●ストリーミング配信大手。インターネット接続端末で各種テレビ番組や映画、アニメ、ドキュメンタリーを提供する。10年以上にわたってオリジナル番組を制作。視聴者数は世界中で0.6 billion人を超える。
●グロース株だが、足元の(Note: JSR, excluding the chemical sector constituents of the Nikkei Semiconductor Stock Index (in weight order). Operating profit growth rate forecast, recent dividend yield, and analyst target stock price for Nippon Chemicals are based on Bloomberg data.)は32.8倍で、過去5年平均の37.9倍を下回る（テック株の多くは過去5年平均を上回っている）。

$General Motors (GM.US)$
Stocks trading below 1x PBR: Share buybacks, expectations for profitability in the EV business.
●The largest U.S. automaker. Electric Vehicles (EV) rank second in market share in the USA, following Tesla.
●Currently,pb(Price to Net Asset Value) is 0.8 times.(Note: JSR, excluding the chemical sector constituents of the Nikkei Semiconductor Stock Index (in weight order). Operating profit growth rate forecast, recent dividend yield, and analyst target stock price for Nippon Chemicals are based on Bloomberg data.)is 5.1 times, which is below the 5-year average of 6.7 times.
●The earnings report for the July-September quarter isAdjusted EPSAt $2.96, it significantly exceeded the market estimate of $2.45. The company has raised its adjusted EPS outlook for the full year 2024 from the previous range of $9.50 to $10.50 to $10.00 to $10.50. The company cited strong demand and pricing power in North America as the reasons.
●EV businessis in the red, butProfitabilitycontinues to improve. Contributing factors include economies of scale and reduction in battery costs. The company expects the EV business to be profitable in the range of 2 billion to 4 billion dollars on an EBIT basis by 2025. During the earnings call on October 22, the management expressed confidence in achieving this.
●Share buybackShareholder returns through share buyback are also supporting the stock price. The company has announced its intention to reduce the number of shares to less than 1 billion by early 2025, and conducted share buybacks in the July-September quarter. A review will be conducted for the October-December period to carry out share repurchases towards the goal of less than 1 billion shares.

$Baker Hughes (BKR.US)$
Making steady progress towards the goal of a 20% EBITDA profit margin.
●A leading U.S. oil field service giant. It provides oil field services, equipment, and energy technology. The company expects a 20% increase in natural gas demand by 2040, with a 75% increase in LNG (liquefied natural gas) demand, indicating a favorable long-term business environment.DemandEstimated to increase by 75%, expecting a 20% increase in natural gas demand by 2040, and LNG demand to increase by 75%, indicating a favorable long-term business environment.
●Currently,(Note: JSR, excluding the chemical sector constituents of the Nikkei Semiconductor Stock Index (in weight order). Operating profit growth rate forecast, recent dividend yield, and analyst target stock price for Nippon Chemicals are based on Bloomberg data.)with a PBR of 14.6 times, below the 5-year average of 22.7 times. The expected EV/EBITDA is 8.0 times, below the 5-year average of 8.7 times. (EV: Enterprise Value, EBITDA: Earnings Before Interest, Taxes, Depreciation, and Amortization)
●For the July-September quarter,Adjusted EPSat 0.67 dollars, exceeding the market estimate of 0.61 dollars. EBITDA once again reached a new high. The management stated, "With the robust performance in the July-September quarter and stable outlook, we are confident in achieving the EBITDA forecast for 2025 (median)."
●Profit marginImprovements continue. The EBITDA profit margin (12 months) increased from 11.4% in fiscal year 2020 to 14.8% in fiscal year 2023 on an annual basis. In the quarter, the most recent period from July to September was 16.3%, further improving from the previous period's 15.6%. The next two quarters are expected to be 17.4% and 17.6% respectively, and the improvement in profit margin is expected to continue.