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As European markets continue to show resilience, with the STOXX Europe 600 Index posting its longest streak of weekly gains since 2012, investors are increasingly turning their attention to value stocks that may be trading below their intrinsic values. In this environment, a good stock is often characterized by strong fundamentals and the potential for growth despite broader economic uncertainties, making it a compelling choice for those seeking opportunities in undervalued assets.
Top 10 Undervalued Stocks Based On Cash Flows In Europe
| Name | Current Price | Fair Value (Est) | Discount (Est) |
| Micro Systemation (OM:MSAB B) | SEK55.40 | SEK108.15 | 48.8% |
| Laboratorios Farmaceuticos Rovi (BME:ROVI) | €54.60 | €107.22 | 49.1% |
| Vimi Fasteners (BIT:VIM) | €0.96 | €1.91 | 49.8% |
| Net Insight (OM:NETI B) | SEK4.82 | SEK9.39 | 48.6% |
| CD Projekt (WSE:CDR) | PLN221.00 | PLN441.00 | 49.9% |
| Tinexta (BIT:TNXT) | €7.83 | €15.45 | 49.3% |
| Storytel (OM:STORY B) | SEK92.60 | SEK179.62 | 48.4% |
| Canatu Oyj (HLSE:CANATU) | €12.40 | €24.73 | 49.9% |
| IONOS Group (XTRA:IOS) | €24.70 | €48.78 | 49.4% |
| Nordic Semiconductor (OB:NOD) | NOK137.55 | NOK266.28 | 48.3% |
Here we highlight a subset of our preferred stocks from the screener.
DSV
Overview: DSV A/S provides transport and logistics services across multiple regions including Europe, the Middle East, Africa, North America, South America, Asia, Australia, and the Pacific with a market cap of DKK341.64 billion.
Operations: The company's revenue is derived from several segments: Road (DKK40.51 billion), Solutions (DKK25.62 billion), Air Freight (DKK55.17 billion), and Sea Freight (DKK49.33 billion).
Estimated Discount To Fair Value: 20.9%
DSV is currently trading at DKK 1453.5, below its estimated fair value of DKK 1836.86, suggesting undervaluation based on discounted cash flow analysis. Analysts anticipate a stock price rise of 22.5%. Earnings are forecast to grow significantly at 20.21% annually, outpacing the Danish market's growth rate. Despite a decline in net income from DKK 12,315 million to DKK 10,109 million in 2024, revenue increased to DKK 167 billion from the previous year's DKK 150 billion.
Basler
Overview: Basler Aktiengesellschaft develops, manufactures, and sells digital cameras for professional users both in Germany and internationally, with a market cap of €244.10 million.
Operations: The company generates revenue primarily from its camera segment, amounting to €182.31 million.