European Small Caps With Insider Buying Highlight Undervalued Opportunities

In recent weeks, European markets have experienced a downturn, with the STOXX Europe 600 Index falling by 2.21% amid concerns over inflated AI stock valuations and diminishing expectations for a U.S. interest rate cut. Despite these challenges, eurozone business activity continues to expand steadily, offering potential opportunities for investors interested in small-cap stocks that may be trading below their intrinsic value. In such an environment, identifying stocks with solid fundamentals and insider buying can be key indicators of potential undervaluation and future growth prospects.

Top 10 Undervalued Small Caps With Insider Buying In Europe

Click here to see the full list of 69 stocks from our Undervalued European Small Caps With Insider Buying screener.

Let's review some notable picks from our screened stocks.

Forterra (LSE:FORT)

Simply Wall St Value Rating: ★★★★☆☆

Overview: Forterra is a UK-based manufacturer of building products, primarily focusing on bricks and blocks, with a market capitalization of £0.45 billion.

Operations: Forterra generates revenue primarily from its Bricks and Blocks segment (£300.70 million) and Bespoke Products (£80 million). The company's cost of goods sold (COGS) has been a significant expense, impacting the gross profit margin, which was 28.73% as of June 2025. Operating expenses, including sales and marketing costs, also play a crucial role in shaping the net income margin trends over time.

PE: 23.6x

Forterra, a European company in the building materials sector, is attracting attention as an undervalued small-cap stock. Despite relying solely on external borrowing for funding, which carries inherent risks, Forterra's earnings are forecasted to grow by 27.83% annually. Insider confidence is evident with Nigel Lingwood purchasing 50,000 shares for approximately £89,900 earlier this year. Recent guidance suggests stable revenue levels in the second half of 2025 compared to H1.

• Take a closer look at Forterra's potential here in our valuation report.

• Examine Forterra's past performance report to understand how it has performed in the past.

Harworth Group (LSE:HWG)

Simply Wall St Value Rating: ★★★★☆☆

Overview: Harworth Group is a UK-based land and property regeneration company focused on the development and management of industrial, commercial, and residential sites, with a market cap of approximately £0.43 billion.

Operations: The company's revenue streams include income generation and capital growth from property activities, with a significant portion derived from the sale of development properties. Operating expenses have shown an upward trend over time, impacting net income margins. The gross profit margin has experienced fluctuations, reaching 54.39% in June 2023 before declining to 15.60% by June 2025.

PE: 10.0x

Harworth Group, a European small-cap stock, has recently caught attention due to its inclusion in the S&P Global BMI Index as of September 21, 2025. Despite reporting a dip in net income from £14.78 million to £9.69 million for H1 2025, sales increased to £47.47 million from £41.31 million year-on-year. Insider confidence is evident with recent share purchases by executives, indicating belief in future growth prospects amidst strategic leadership changes and dividend increases aligning with policy goals for sustainable expansion and improved returns.

• Click here and access our complete valuation analysis report to understand the dynamics of Harworth Group.

• Review our historical performance report to gain insights into Harworth Group's's past performance.

Grieg Seafood (OB:GSF)

Simply Wall St Value Rating: ★★★★☆☆

Overview: Grieg Seafood is a company engaged in the production of farmed salmon, with a market capitalization of NOK 8.98 billion.

Operations: Grieg Seafood's revenue primarily comes from the production of farmed salmon, with recent data showing a gross profit margin of 38.94%. The company faces significant costs, including cost of goods sold (COGS) and operating expenses, which can impact its profitability.

PE: -2.9x

Grieg Seafood, a European small cap, has faced challenges with sales dropping to NOK 754.38 million in Q3 2025 from NOK 856.46 million the previous year, and a net loss of NOK 284.2 million compared to NOK 30.91 million last year. However, harvest volumes for nine months increased to 23,090 tonnes from last year's 20,740 tonnes. Insider confidence is evident as they recently bought shares during this period of transition under new CEO Nina Willumsen Grieg's leadership since August.

• Dive into the specifics of Grieg Seafood here with our thorough valuation report.

• Assess Grieg Seafood's past performance with our detailed historical performance reports.

Next Steps

• Explore the 69 names from our Undervalued European Small Caps With Insider Buying screener here.
• Invested in any of these stocks? Simplify your portfolio management with Simply Wall St and stay ahead with our alerts for any critical updates on your stocks.
• Discover a world of investment opportunities with Simply Wall St's free app and access unparalleled stock analysis across all markets.

Want To Explore Some Alternatives?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

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.

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