3 European Stocks Priced At Up To 25.4% Below Intrinsic Estimates

As European markets experience a boost from expectations of lower U.S. borrowing costs, with the pan-European STOXX Europe 600 Index rising by 1.40%, investors are keenly eyeing stocks that may be trading below their intrinsic value. In this environment, identifying undervalued stocks can provide opportunities for investors looking to capitalize on potential market inefficiencies and favorable economic conditions.

Top 10 Undervalued Stocks Based On Cash Flows In Europe

Click here to see the full list of 212 stocks from our Undervalued European Stocks Based On Cash Flows screener.

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

I.CO.P.. Società Benefit (BIT:ICOP)

Overview: I.CO.P. S.p.A. Società Benefit offers construction and special engineering services to both public and private clients in Italy and internationally, with a market cap of €567.95 million.

Operations: The company generates revenue of €110.92 million from its heavy construction segment.

Estimated Discount To Fair Value: 25.4%

I.CO.P. Società Benefit is trading at €18.90, significantly below its estimated fair value of €25.32, suggesting it may be undervalued based on cash flows. The company has experienced substantial earnings growth of 253.6% over the past year and is expected to continue with a forecasted annual profit growth rate of 32.1%, outpacing the Italian market's 9%. However, investors should note its highly volatile share price in recent months.

• The growth report we've compiled suggests that I.CO.P.. Società Benefit's future prospects could be on the up.
• Click here to discover the nuances of I.CO.P.. Società Benefit with our detailed financial health report.

Lime Technologies (OM:LIME)

Overview: Lime Technologies AB (publ) offers SaaS-based CRM solutions in the Nordic region and has a market cap of SEK4.59 billion.

Operations: The company generates revenue of SEK714.91 million from selling and implementing CRM software systems in the Nordic region.

Estimated Discount To Fair Value: 16.4%

Lime Technologies is trading at SEK 344.5, below its estimated fair value of SEK 411.93, highlighting potential undervaluation based on cash flows. Recent earnings show solid growth with revenue and net income increasing year-over-year, while earnings per share also improved significantly. The company forecasts strong annual profit growth of 20.9%, surpassing the Swedish market's average, supported by a high forecasted return on equity of 38.9% in three years.

• In light of our recent growth report, it seems possible that Lime Technologies' financial performance will exceed current levels.
• Delve into the full analysis health report here for a deeper understanding of Lime Technologies.

Vossloh (XTRA:VOS)

Overview: Vossloh AG is a company that offers rail infrastructure products and services both in Germany and internationally, with a market cap of €1.70 billion.

Operations: Vossloh AG's revenue is primarily derived from its Customized Modules - Switch Systems segment at €579.90 million, Core Components - Fastening Systems at €327.40 million, Tie Technologies at €151.80 million, and Lifecycle Solutions - Rail Services contributing €216.90 million.

Estimated Discount To Fair Value: 14.4%

Vossloh is trading at €88.1, below its estimated fair value of €102.96, showcasing potential undervaluation based on cash flows. Recent earnings showed a rise in sales to €331.5 million for Q2 2025, although net income decreased slightly year-over-year. The company expects significant annual earnings growth of 22.6%, outpacing the German market's average, despite a lower forecasted return on equity of 12.8% in three years and moderate revenue growth projections.

• Our growth report here indicates Vossloh may be poised for an improving outlook.
• Navigate through the intricacies of Vossloh with our comprehensive financial health report here.

Turning Ideas Into Actions

• Click here to access our complete index of 212 Undervalued European Stocks Based On Cash Flows.
• Already own these companies? Bring clarity to your investment decisions by linking up your portfolio with Simply Wall St, where you can monitor all the vital signs of your stocks effortlessly.
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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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