Shares of D-MARKET Electronic Services & Trading (HEPS), also known as Hepsiburada, surged 5.15% in Monday's trading session, outperforming the broader market. The stock's movement comes as analysts suggest the company may be undervalued based on cash flow projections.

According to a recent analysis, D-MARKET is currently trading approximately 11.3% below its estimated fair value of $2.95 per share. Despite recent net losses, the company's future looks promising with projected revenue growth of 24.5% annually, significantly outpacing the US market's growth rate of 9.2%. Earnings are forecast to increase by over 100% per year, with profitability expected within three years.

Investors seem to be reacting positively to these growth prospects, driving up the stock price. The e-commerce platform, which operates primarily in Turkey, generated revenue of ₺58.83 billion from its operations. As the company continues to expand and improve its financial performance, there may be potential for further recognition of its cash flow-driven undervaluation in the future.