European Stocks Possibly Undervalued By Up To 47.8%

As European markets show mixed performance, with the pan-European STOXX Europe 600 Index remaining relatively flat and major indices like France’s CAC 40 and Italy’s FTSE MIB posting modest gains, investors are keenly observing potential opportunities amid these fluctuations. In such an environment, identifying undervalued stocks can be crucial for investors looking to capitalize on discrepancies between a company’s intrinsic value and its current market price.

Click here to see the full list of 177 stocks from our Undervalued European Stocks Based On Cash Flows screener.

We’re going to check out a few of the best picks from our screener tool.

Overview: Europris ASA is a discount variety retailer operating in Norway with a market cap of NOK15.38 billion.

Operations: Europris ASA generates revenue through its operations as a discount variety retailer in Norway.

Estimated Discount To Fair Value: 37.2%

Europris is trading at NOK 94, significantly below its estimated fair value of NOK 149.65, suggesting it may be undervalued based on discounted cash flow analysis. Despite a decline in net profit margin from last year, earnings are projected to grow at 16.74% annually, outpacing the Norwegian market’s growth rate. Recent earnings reports show increased quarterly sales but a drop in six-month net income compared to last year, reflecting mixed financial performance amidst expansion efforts with new store openings.

OB:EPR Discounted Cash Flow as at Jul 2025

Overview: Sonova Holding AG is a global provider of hearing care solutions for both children and adults, with a market capitalization of CHF14.10 billion.

Operations: The company’s revenue primarily comes from Hearing Instruments, generating CHF3.57 billion, and Cochlear Implants, contributing CHF307.50 million.

Estimated Discount To Fair Value: 47.8%

Sonova Holding is trading at CHF 236.6, considerably below its estimated fair value of CHF 452.92, highlighting potential undervaluation based on cash flow analysis. Despite a leadership transition with Eric Bernard set to assume the CEO role, the company anticipates revenue growth of 5.4% annually, surpassing the Swiss market rate. Recent earnings report shows sales of CHF 3.87 billion and net income of CHF 547 million, underscoring solid financial health amidst strategic changes and dividend increases.