While Marine Products Corporation (NYSE:MPX) might not have the largest market cap around , it saw significant share price movement during recent months on the NYSE, rising to highs of US$12.12 and falling to the lows of US$8.94. 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 Marine Products' current trading price of US$8.94 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 Marine Products’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.

Check out our latest analysis for Marine Products

What's The Opportunity In Marine Products?

The stock seems fairly valued at the moment according to our valuation model. It’s trading around 15% below our intrinsic value, which means if you buy Marine Products today, you’d be paying a reasonable price for it. And if you believe the company’s true value is $10.50, then there’s not much of an upside to gain from mispricing. Although, there may be an opportunity to buy in the future. This is because Marine Products’s beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. If the market is bearish, the company’s shares will likely fall by more than the rest of the market, providing a prime buying opportunity.

Can we expect growth from Marine Products?

Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. However, with an extremely negative double-digit change in profit expected next year, near-term growth is certainly not a driver of a buy decision. It seems like high uncertainty is on the cards for Marine Products, at least in the near future.

What This Means For You

Are you a shareholder? Currently, MPX appears to be trading around its fair value, but given the uncertainty from negative returns in the future, this could be the right time to de-risk your portfolio. Is your current exposure to the stock optimal for your total portfolio? And is the opportunity cost of holding a negative-outlook stock too high? Before you make a decision on the stock, take a look at whether its fundamentals have changed.