European Stocks Priced Below Estimated Value For Savvy Investors

Simply Wall St · 4d ago

As European markets continue to show signs of steady economic growth, with the pan-European STOXX Europe 600 Index rising by 1.60%, investors are increasingly on the lookout for opportunities that may be undervalued amidst looser monetary policies. In such a climate, identifying stocks priced below their estimated value can offer potential benefits, particularly when economic indicators suggest stability and potential growth in key indices.

Top 10 Undervalued Stocks Based On Cash Flows In Europe

Name Current Price Fair Value (Est) Discount (Est)
Truecaller (OM:TRUE B) SEK18.58 SEK36.47 49.1%
Sanoma Oyj (HLSE:SANOMA) €9.21 €18.33 49.7%
Redelfi (BIT:RDF) €11.82 €23.33 49.3%
PVA TePla (XTRA:TPE) €21.88 €43.62 49.8%
Outokumpu Oyj (HLSE:OUT1V) €4.266 €8.51 49.8%
Jæren Sparebank (OB:JAREN) NOK380.00 NOK752.16 49.5%
Inission (OM:INISS B) SEK48.80 SEK96.05 49.2%
Dynavox Group (OM:DYVOX) SEK101.80 SEK202.79 49.8%
AutoStore Holdings (OB:AUTO) NOK10.41 NOK20.69 49.7%
Aker BioMarine (OB:AKBM) NOK90.20 NOK177.20 49.1%

Click here to see the full list of 194 stocks from our Undervalued European Stocks Based On Cash Flows screener.

Let's review some notable picks from our screened stocks.

ACS Actividades de Construcción y Servicios (BME:ACS)

Overview: ACS Actividades de Construcción y Servicios is a Spanish multinational company engaged in construction, infrastructure development, and services with a market cap of approximately €21.70 billion.

Operations: The company's revenue segments include Cimic at €11.11 billion, Turner at €24.44 billion, Infrastructure at €241.67 million, and Engineering and Construction at €10.30 billion.

Estimated Discount To Fair Value: 13.1%

ACS, Actividades de Construcción y Servicios, S.A. shows potential as an undervalued stock based on cash flows, trading at €84.9 below its estimated fair value of €97.66. Recent earnings reported sales of €36.75 billion and net income of €655 million for the first nine months of 2025, indicating solid performance despite high debt levels not fully covered by operating cash flow. Earnings are forecast to grow faster than the Spanish market at 13% annually.

BME:ACS Discounted Cash Flow as at Dec 2025
BME:ACS Discounted Cash Flow as at Dec 2025

OHB (XTRA:OHB)

Overview: OHB SE is a space and technology company operating in Germany, the rest of Europe, and internationally, with a market cap of €2.07 billion.

Operations: The company's revenue segments include Digital (€145.95 million), Holding (€26.42 million), Space Systems (€929.07 million), and Access to Space (€157.71 million).

Estimated Discount To Fair Value: 16.9%

OHB appears undervalued based on cash flows, trading at €108, approximately 16.9% below its estimated fair value of €129.94. Despite high debt levels and lower profit margins than last year, earnings are forecast to grow significantly at 51.8% annually, outpacing the German market's growth rate. Recent third-quarter results showed increased sales and revenue compared to the previous year, with net income reaching €12.38 million from €12.01 million a year ago.

XTRA:OHB Discounted Cash Flow as at Dec 2025
XTRA:OHB Discounted Cash Flow as at Dec 2025

PNE (XTRA:PNE3)

Overview: PNE AG is involved in the planning, construction, and operation of wind farms and transformer stations both in Germany and internationally, with a market cap of €773.69 million.

Operations: The company's revenue is segmented into Services (€36.30 million), Power Generation (€79.80 million), and Project Development (€269.90 million).

Estimated Discount To Fair Value: 37.5%

PNE is trading at €10.1, over 37% below its estimated fair value of €16.15, suggesting potential undervaluation based on cash flows. Recent earnings show improved sales and revenue for the third quarter, though a net loss persists. The company secured multiple wind energy projects in France and Germany, enhancing future revenue prospects despite current debt challenges not well covered by operating cash flow. Analysts anticipate a 71% stock price increase aligning with expected profitability within three years.

XTRA:PNE3 Discounted Cash Flow as at Dec 2025
XTRA:PNE3 Discounted Cash Flow as at Dec 2025

Where To Now?

  • Navigate through the entire inventory of 194 Undervalued European Stocks Based On Cash Flows here.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.