Swedish Stocks That May Be Trading Below Estimated Value In October 2024

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As European markets show optimism with the pan-European STOXX Europe 600 Index rising amid expectations of quicker interest rate cuts, investors are keenly observing opportunities in various regions, including Sweden. In this environment, identifying stocks that may be trading below their estimated value can be crucial for investors looking to capitalize on potential undervaluations while navigating current economic conditions.

Top 10 Undervalued Stocks Based On Cash Flows In Sweden

Name

Current Price

Fair Value (Est)

Discount (Est)

Truecaller (OM:TRUE B)

SEK44.56

SEK86.61

48.6%

Concentric (OM:COIC)

SEK212.00

SEK404.37

47.6%

Biotage (OM:BIOT)

SEK183.60

SEK365.08

49.7%

Lindab International (OM:LIAB)

SEK277.40

SEK528.45

47.5%

Nolato (OM:NOLA B)

SEK51.65

SEK103.13

49.9%

Wall to Wall Group (OM:WTW A)

SEK57.40

SEK105.82

45.8%

Securitas (OM:SECU B)

SEK129.70

SEK258.62

49.9%

Nexam Chemical Holding (OM:NEXAM)

SEK3.98

SEK7.91

49.7%

BHG Group (OM:BHG)

SEK13.98

SEK26.45

47.1%

Bactiguard Holding (OM:BACTI B)

SEK45.90

SEK86.06

46.7%

Click here to see the full list of 43 stocks from our Undervalued Swedish Stocks Based On Cash Flows screener.

Here's a peek at a few of the choices from the screener.

Nolato

Overview: Nolato AB (publ) develops, manufactures, and sells plastic, silicone, and thermoplastic elastomer products for various sectors including medical technology, pharmaceutical, consumer electronics, telecom, automotive, hygiene, and other industries across Sweden and globally; it has a market cap of SEK13.91 billion.

Operations: The company's revenue segments include Medical Solutions, which generated SEK5.34 billion.

Estimated Discount To Fair Value: 49.9%

Nolato is trading at SEK51.65, significantly below its estimated fair value of SEK103.13, suggesting it may be undervalued based on cash flows. Despite a forecasted low return on equity and slower revenue growth compared to high-growth benchmarks, Nolato's earnings are expected to grow significantly at 23.1% annually, outpacing the Swedish market's 15.6%. Recent earnings reports show steady performance with net income rising year-over-year despite slightly lower sales figures.

OM:NOLA B Discounted Cash Flow as at Oct 2024
OM:NOLA B Discounted Cash Flow as at Oct 2024

NOTE

Overview: NOTE AB (publ) is a company that offers electronics manufacturing services across Sweden, Finland, the United Kingdom, Bulgaria, Estonia, China, and other international markets with a market cap of SEK3.81 billion.

Operations: The company generates revenue through its electronics manufacturing services operations in Sweden, Finland, the United Kingdom, Bulgaria, Estonia, China, and other international markets.