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As European markets experience a positive shift, with the STOXX Europe 600 Index rising by 2.77% amid easing trade tensions and stable economic indicators, investors are increasingly on the lookout for opportunities in value stocks. In this environment, identifying undervalued stocks—those trading below their intrinsic value due to market inefficiencies—can offer potential long-term benefits as these companies may be poised for recovery or growth once broader market conditions stabilize.
Top 10 Undervalued Stocks Based On Cash Flows In Europe
Name | Current Price | Fair Value (Est) | Discount (Est) |
Andritz (WBAG:ANDR) | €57.05 | €112.70 | 49.4% |
Pluxee (ENXTPA:PLX) | €18.90 | €36.97 | 48.9% |
TF Bank (OM:TFBANK) | SEK347.00 | SEK682.14 | 49.1% |
Terveystalo Oyj (HLSE:TTALO) | €12.00 | €23.56 | 49.1% |
Jerónimo Martins SGPS (ENXTLS:JMT) | €21.20 | €42.13 | 49.7% |
Etteplan Oyj (HLSE:ETTE) | €11.55 | €22.87 | 49.5% |
Komplett (OB:KOMPL) | NOK11.15 | NOK22.14 | 49.6% |
Expert.ai (BIT:EXAI) | €1.32 | €2.59 | 49% |
FACC (WBAG:FACC) | €7.34 | €14.32 | 48.7% |
Longino & Cardenal (BIT:LON) | €1.35 | €2.67 | 49.4% |
Below we spotlight a couple of our favorites from our exclusive screener.
Terveystalo Oyj
Overview: Terveystalo Oyj operates as a provider of occupational healthcare services in Finland, Sweden, and Estonia with a market cap of €1.52 billion.
Operations: The company generates revenue from various segments, including €79.40 million from Sweden, €1.06 billion from Healthcare Services, and €224.40 million from Portfolio Businesses.
Estimated Discount To Fair Value: 49.1%
Terveystalo Oyj is trading significantly below its estimated fair value, suggesting potential undervaluation based on cash flows. Despite a high debt level, the company's earnings are projected to grow faster than the Finnish market at 16.9% annually. Recent Q1 2025 results show an increase in net income to €33.4 million from €23.6 million year-over-year, reflecting improved profitability and supporting its growth outlook amid stable revenue forecasts for 2025.
Invisio
Overview: Invisio AB (publ) develops and sells communication and hearing protection systems for defense, law enforcement, and security professionals globally, with a market cap of SEK16.96 billion.
Operations: The company generates revenue of SEK1.81 billion from its wireless communications equipment segment, serving professionals in defense, law enforcement, and security sectors worldwide.