Stock Analysis

Undiscovered Gems In France Featuring Axway Software And 2 Promising Small Caps

ENXTPA:CRBP2
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As global markets react to anticipated interest rate cuts and the European economy sees a boost from the Paris Olympics, small-cap stocks in France are gaining renewed attention. With investors increasingly looking for opportunities beyond large-cap giants, identifying promising small caps has never been more crucial. In this context, finding a good stock often means seeking companies with solid fundamentals, growth potential, and resilience in fluctuating market conditions. This article highlights three such undiscovered gems in France: Axway Software and two other promising small-cap stocks.

Top 10 Undiscovered Gems With Strong Fundamentals In France

NameDebt To EquityRevenue GrowthEarnings GrowthHealth Rating
Caisse Régionale de Crédit Agricole Mutuel Brie Picardie Société coopérative34.89%3.23%3.61%★★★★★★
Gévelot0.25%10.64%20.33%★★★★★★
EssoF1.19%11.14%41.41%★★★★★★
VIEL & Cie société anonyme63.16%5.00%16.26%★★★★★☆
Exacompta Clairefontaine30.44%6.92%31.73%★★★★★☆
ADLPartner86.83%9.59%11.00%★★★★★☆
La Forestière Equatoriale0.00%-50.76%49.41%★★★★★☆
Caisse Régionale de Crédit Agricole Mutuel Alpes Provence Société coopérative391.01%4.67%17.31%★★★★☆☆
Société Fermière du Casino Municipal de Cannes11.60%6.69%10.30%★★★★☆☆
Société Industrielle et Financière de l'Artois Société anonyme2.93%-1.09%8.31%★★★★☆☆

Click here to see the full list of 35 stocks from our Euronext Paris Undiscovered Gems With Strong Fundamentals screener.

Underneath we present a selection of stocks filtered out by our screen.

Axway Software (ENXTPA:AXW)

Simply Wall St Value Rating: ★★★★★☆

Overview: Axway Software SA is an infrastructure software publisher with operations spanning France, the rest of Europe, the Americas, and the Asia Pacific, and has a market cap of approximately €665.16 million.

Operations: Axway Software SA generates revenue primarily from Subscription (€201.19 million), Maintenance (€77.04 million), Services excluding Subscription (€35.49 million), and License fees (€8.46 million). The company's revenue model is heavily skewed towards recurring income streams, particularly from subscriptions and maintenance services.

Axway Software, a small French tech player, has seen its debt to equity ratio climb from 12.5% to 24.6% over the past five years. Despite this, it boasts a satisfactory net debt to equity ratio of 19.9%. The company recently became profitable and reported half-year revenues of €148.7 million with net income at €2.8 million. Its price-to-earnings ratio stands at 19x, below the industry average of 32.9x, indicating good value potential in the software sector.

ENXTPA:AXW Earnings and Revenue Growth as at Aug 2024
ENXTPA:AXW Earnings and Revenue Growth as at Aug 2024

Caisse Régionale de Crédit Agricole Mutuel Brie Picardie Société coopérative (ENXTPA:CRBP2)

Simply Wall St Value Rating: ★★★★★★

Overview: Caisse Régionale de Crédit Agricole Mutuel Brie Picardie Société coopérative offers a variety of banking and financial services to individuals, farmers, professionals, businesses, and public authorities in France with a market cap of approximately €979.94 million.

Operations: Caisse Régionale de Crédit Agricole Mutuel Brie Picardie Société coopérative generates its revenue primarily from retail banking, which accounted for €625.99 million. The company has a market cap of approximately €979.94 million.

Caisse Régionale de Crédit Agricole Mutuel Brie Picardie Société coopérative, with total assets of €42.2B and equity of €5.0B, shows a robust financial position. Customer deposits make up 91% of its liabilities, indicating low-risk funding sources. Total loans stand at €34.1B against deposits of €33.8B, reflecting balanced growth. Earnings grew by 6.2% over the past year, outpacing the industry average (-11%). The bank has an appropriate bad loans ratio (1.2%) and a sufficient allowance for bad loans (115%).

ENXTPA:CRBP2 Earnings and Revenue Growth as at Aug 2024
ENXTPA:CRBP2 Earnings and Revenue Growth as at Aug 2024

Financière Moncey Société anonyme (ENXTPA:FMONC)

Simply Wall St Value Rating: ★★★★★★

Overview: Financière Moncey Société anonyme operates as a holding company that manages a portfolio of investments in France, with a market cap of €1.54 billion.

Operations: Financière Moncey Société anonyme generates revenue through its diverse portfolio of investments in France. The company has a market cap of €1.54 billion.

Financière Moncey Société anonyme, a small financial entity, has shown remarkable growth with earnings increasing by 41.7% over the past year, outpacing the Diversified Financial industry which saw a -3.9% change. The company is debt-free now compared to five years ago when its debt to equity ratio was 0.02%. Additionally, it generates less than US$1 million in revenue but maintains high-quality earnings and positive free cash flow at US$8.18 million as of August 2024.

ENXTPA:FMONC Earnings and Revenue Growth as at Aug 2024
ENXTPA:FMONC Earnings and Revenue Growth as at Aug 2024

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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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