European Penny Stocks To Watch In December 2025

Market Cap: SEK1.73B

Arbona AB, with a market cap of SEK1.73 billion, has shown profitability growth over the past five years, achieving an annual earnings increase of 27.4%. Despite this progress, recent performance highlights challenges as earnings declined by 72.6% last year compared to industry averages. The company’s financial health is supported by short-term assets exceeding both short and long-term liabilities and having more cash than total debt. However, its return on equity remains low at 5.7%. A significant one-off gain of SEK122.6 million affected recent results, while trading at a substantial discount to estimated fair value offers potential appeal for investors seeking undervalued opportunities in the penny stock segment.

NGM:ARBO A Financial Position Analysis as at Dec 2025

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: Kudelski SA, with a market cap of CHF72.42 million, offers digital access and security solutions for digital television and interactive applications across Switzerland, the United States, France, Germany, Austria, and other international markets.

Operations: The company’s revenue is derived from its Cybersecurity segment, generating $106.04 million, and its Internet of Things segment, contributing $45.13 million.

Market Cap: CHF72.42M

Kudelski SA, with a market cap of CHF72.42 million, operates in digital security solutions across multiple regions. Despite being unprofitable, its financial health shows resilience as short-term assets ($196.3M) cover both short and long-term liabilities, and the company holds more cash than debt. While trading at 98.9% below estimated fair value presents potential for undervaluation appeal, challenges persist with increasing losses over five years at 49% annually and less than a year of cash runway based on current free cash flow. Management’s experience is notable with an average tenure of 10.2 years amidst these operational hurdles.

SWX:KUD Financial Position Analysis as at Dec 2025

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.

Companies discussed in this article include DB:8W50 NGM:ARBO A and SWX:KUD.

This article was originally published by Simply Wall St.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com