Discover 3 European Stocks Believed To Be Trading Below Intrinsic Value

As European markets navigate the complexities of interest rate policies and trade uncertainties, indices like the STOXX Europe 600 have remained relatively stable, while major stock indexes in countries such as Italy and Germany have seen modest gains. In this environment, identifying stocks that are potentially trading below their intrinsic value can offer investors opportunities to capitalize on market inefficiencies.

Name

Current Price

Fair Value (Est)

Discount (Est)

Millenium Hospitality Real Estate SOCIMI (BME:YMHRE)

€2.08

€4.06

48.8%

Midsummer (OM:MIDS)

SEK2.76

SEK5.45

49.3%

LINK Mobility Group Holding (OB:LINK)

NOK30.15

NOK59.61

49.4%

Industrie Chimiche Forestali (BIT:ICF)

€6.46

€12.64

48.9%

Exel Composites Oyj (HLSE:EXL1V)

€0.377

€0.73

48.6%

Endomines Finland Oyj (HLSE:PAMPALO)

€25.70

€50.50

49.1%

E-Globe (BIT:EGB)

€0.665

€1.31

49.4%

Echo Investment (WSE:ECH)

PLN5.48

PLN10.71

48.8%

Atea (OB:ATEA)

NOK145.40

NOK282.88

48.6%

Alfio Bardolla Training Group (BIT:ABTG)

€1.915

€3.77

49.2%

Click here to see the full list of 210 stocks from our Undervalued European Stocks Based On Cash Flows screener.

Let’s uncover some gems from our specialized screener.

Overview: Sartorius Stedim Biotech S.A. produces and sells instruments and consumables for the biopharmaceutical industry globally, with a market cap of €18.09 billion.

Operations: The company’s revenue is primarily derived from its Biopharm segment, which generated €2.90 billion.

Estimated Discount To Fair Value: 15.1%

Sartorius Stedim Biotech is trading at €185.9, approximately 15.1% below its estimated fair value of €219.02, suggesting it may be undervalued based on cash flows. Despite high debt levels, the company reported strong earnings growth of 32.4% over the past year and forecasts a robust annual profit growth rate of 25.8%, outpacing the French market average of 12.3%. Recent strategic partnerships further bolster its long-term prospects in biopharmaceuticals and mRNA production expansion.

ENXTPA:DIM Discounted Cash Flow as at Oct 2025
ENXTPA:DIM Discounted Cash Flow as at Oct 2025

Overview: Eurofins Scientific SE, with a market cap of €11.19 billion, offers a wide range of analytical testing and laboratory services globally through its subsidiaries.

Operations: The company generates revenue of €7.14 billion from its analytical testing services worldwide.

Estimated Discount To Fair Value: 46.2%

Eurofins Scientific, trading at €63.06, is significantly undervalued with a fair value estimate of €117.24. Despite high debt levels, the company has demonstrated solid earnings growth with net income rising to €246.6 million for H1 2025 and earnings per share increasing to €1.2 from €1.01 year-over-year. Recent bond issuance of €500 million supports strategic acquisitions and corporate purposes, while projected revenue growth of 6.5% annually surpasses the French market average of 5.4%.

ENXTPA:ERF Discounted Cash Flow as at Oct 2025
ENXTPA:ERF Discounted Cash Flow as at Oct 2025

Overview: Knorr-Bremse AG, along with its subsidiaries, specializes in developing, producing, and marketing brake systems for rail and commercial vehicles as well as other safety-critical systems globally, with a market cap of €12.92 billion.

Operations: The company’s revenue is primarily derived from its Rail Vehicle Systems segment, contributing €4.32 billion, and its Commercial Vehicle Systems segment, which accounts for €3.69 billion.

Estimated Discount To Fair Value: 26.8%

Knorr-Bremse, currently trading at €80.15, is undervalued with a fair value estimate of €109.45. Despite a slight decline in H1 2025 net income to €275 million and basic EPS to €1.7, the company is expected to achieve significant annual earnings growth of 23.7% over the next three years, outpacing the German market average. However, revenue growth remains modest at 4.8% annually with an unstable dividend track record and restructuring costs projected at approximately €75 million for 2025.

XTRA:KBX Discounted Cash Flow as at Oct 2025
XTRA:KBX Discounted Cash Flow as at Oct 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 ENXTPA:DIM ENXTPA:ERF and XTRA:KBX.

This article was originally published by Simply Wall St.

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