In November 2025, the European market has shown resilience, with the pan-European STOXX Europe 600 Index rising by 1.77% amid relief over the reopening of the U.S. federal government, despite cooling sentiment on artificial intelligence impacting gains. As small-cap stocks often exhibit sensitivity to interest rate movements and economic conditions, identifying those that are potentially undervalued and experiencing insider action can be a strategic approach in navigating this dynamic environment.
Top 10 Undervalued Small Caps With Insider Buying In Europe
| Name | PE | PS | Discount to Fair Value | Value Rating |
|---|---|---|---|---|
| Cairn Homes | 11.9x | 1.5x | 31.20% | ★★★★★★ |
| Eurocell | 15.5x | 0.3x | 42.74% | ★★★★★☆ |
| Foxtons Group | 10.2x | 0.9x | 41.86% | ★★★★★☆ |
| Speedy Hire | NA | 0.3x | 26.94% | ★★★★★☆ |
| Senior | 21.9x | 0.7x | 33.49% | ★★★★★☆ |
| Social Housing REIT | NA | 6.7x | 39.02% | ★★★★☆☆ |
| Pexip Holding | 30.1x | 4.8x | 28.83% | ★★★☆☆☆ |
| Fiskars Oyj Abp | 37.8x | 0.9x | 27.49% | ★★★☆☆☆ |
| CVS Group | 43.3x | 1.2x | 30.76% | ★★★☆☆☆ |
| Linc | NA | NA | 0.35% | ★★★☆☆☆ |
Below we spotlight a couple of our favorites from our exclusive screener.
Property Franchise Group (AIM:TPFG)
Simply Wall St Value Rating: ★★★☆☆☆
Overview: Property Franchise Group is a UK-based company specializing in property franchising, licensing, and financial services with a market cap of approximately £1.01 billion.
Operations: The company's revenue streams are primarily derived from property franchising, financial services, and licensing. Operating expenses have consistently impacted net income margins over the years, with recent figures showing a net income margin of 19.66% as of June 2025. The gross profit margin has experienced a decline from earlier periods, reaching 66.36% in June 2025 due to increased cost of goods sold (COGS).
PE: 19.9x
Property Franchise Group, a smaller player in the European market, recently showcased strong financial performance with H1 2025 sales reaching £40.32 million, up from £26.85 million the previous year. Net income also rose to £9.37 million from £3.68 million, reflecting their growth trajectory despite relying solely on external borrowing for funding. Insider confidence is evident as they increased dividends to 7 pence per share for October 2025 distribution. With earnings projected to grow at 11% annually, the company presents potential opportunities amid its financial strategy and market position shifts.
Citycon Oyj (HLSE:CTY1S)
Simply Wall St Value Rating: ★★★★☆☆
Overview: Citycon Oyj is a real estate company specializing in owning, managing, and developing urban grocery-anchored shopping centers in the Nordic and Baltic regions, with a market capitalization of approximately €1.49 billion.
Operations: Citycon Oyj's revenue primarily comes from its operations, with a notable gross profit margin trend observed over the periods. The gross profit margin peaked at 72.06% in Q3 2019 and was at 70.88% in Q3 2025, indicating variations over time. Operating expenses include significant allocations to general and administrative costs, which have fluctuated but were €25.9 million in Q3 2025. Non-operating expenses have also been substantial, impacting net income margins across various periods.
PE: -7.6x
Citycon Oyj, a European real estate company, recently saw G City Ltd propose to acquire an additional 7.73% stake for €56.8 million, signaling insider confidence and potential growth interest. Despite a volatile share price in the past three months, Citycon's recent earnings report showed a turnaround with €24 million net income for Q3 2025 compared to last year's loss. The company repurchased shares worth €2.64 million between July and September 2025, reflecting strategic financial management amid revised earnings guidance for the year.
- Navigate through the intricacies of Citycon Oyj with our comprehensive valuation report here.
Assess Citycon Oyj's past performance with our detailed historical performance reports.
Hays (LSE:HAS)
Simply Wall St Value Rating: ★★★☆☆☆
Overview: Hays is a global recruitment company specializing in qualified, professional, and skilled recruitment services with a market capitalization of £1.57 billion.
Operations: The company generates revenue primarily from its Qualified, Professional and Skilled Recruitment segment. Over the observed periods, it experienced fluctuations in its gross profit margin, which reached a high of 14.34% in December 2019 before declining to 4.06% by June 2025. Operating expenses and non-operating expenses have varied over time, impacting net income margins significantly, with recent figures showing negative net income margins as of June 2025.
PE: -111.7x
Hays, a European staffing firm, is navigating its small cap status with strategic moves amidst current challenges. Despite higher-risk funding from external borrowing, the company anticipates earnings growth of 83% annually. Insider confidence is evident through recent share repurchase plans worth £2 million, enhancing shareholder value. Temporary leadership changes see Michael Findlay as Executive Chair during CEO Dirk Hahn's medical leave. These elements position Hays for potential growth as they focus on strategic priorities in the coming year.
- Unlock comprehensive insights into our analysis of Hays stock in this valuation report.
Gain insights into Hays' historical performance by reviewing our past performance report.
Next Steps
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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.
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Discover if Property Franchise Group might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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