3 Swedish Stocks Estimated To Be Trading Below Intrinsic Value In October 2024

As the European Central Bank's recent interest rate cuts fuel expectations for further monetary easing, Sweden's stock market is experiencing a period of heightened investor interest. In this environment, identifying stocks that are trading below their intrinsic value can be particularly appealing to investors looking for opportunities amidst broader economic shifts.

Top 10 Undervalued Stocks Based On Cash Flows In Sweden

Name	Current Price	Fair Value (Est)	Discount (Est)
Truecaller (OM:TRUE B)	SEK45.20	SEK88.90	49.2%
Getinge (OM:GETI B)	SEK199.15	SEK397.86	49.9%
Lindab International (OM:LIAB)	SEK268.20	SEK525.69	49%
Telefonaktiebolaget LM Ericsson (OM:ERIC B)	SEK89.02	SEK174.89	49.1%
TF Bank (OM:TFBANK)	SEK314.00	SEK612.86	48.8%
Nolato (OM:NOLA B)	SEK52.80	SEK102.66	48.6%
Wall to Wall Group (OM:WTW A)	SEK53.40	SEK103.62	48.5%
Biotage (OM:BIOT)	SEK184.70	SEK364.88	49.4%
Securitas (OM:SECU B)	SEK131.10	SEK260.36	49.6%
BHG Group (OM:BHG)	SEK13.87	SEK26.31	47.3%

Click here to see the full list of 48 stocks from our Undervalued Swedish Stocks Based On Cash Flows screener.

Let's take a closer look at a couple of our picks from the screened companies.

Absolent Air Care Group (OM:ABSO)

Overview: Absolent Air Care Group AB (publ) specializes in designing, developing, selling, installing, and maintaining air filtration units with a market cap of SEK3.55 billion.

Operations: The company's revenue is primarily derived from its Industrial segment, which accounts for SEK1.14 billion, and its Commercial Kitchen segment, contributing SEK281.66 million.

Estimated Discount To Fair Value: 39.1%

Absolent Air Care Group is trading at SEK314, significantly below its estimated fair value of SEK515.62, highlighting potential undervaluation based on cash flows. With earnings forecasted to grow 18.8% annually, surpassing the Swedish market's 15.5%, and revenue growth projected at 10% per year, Absolent shows promising financial prospects despite recent executive changes with CEO Axel Berntsson's resignation effective by January 2025.

• The growth report we've compiled suggests that Absolent Air Care Group's future prospects could be on the up.
• Delve into the full analysis health report here for a deeper understanding of Absolent Air Care Group.

Biotage (OM:BIOT)

Overview: Biotage AB (publ) offers solutions and products for drug discovery and development, analytical testing, and water and environmental testing, with a market cap of SEK14.79 billion.

Operations: The company's revenue primarily comes from its Healthcare Software segment, which generated SEK2.08 billion.

Estimated Discount To Fair Value: 49.4%

Biotage, trading at SEK184.7, is significantly undervalued with an estimated fair value of SEK364.88, presenting a strong case for being undervalued based on cash flows. Its earnings are projected to grow by 20.42% annually over the next three years, outpacing the Swedish market's average growth rate of 15.5%. Recent leadership changes include appointing Frederic Vanderhaegen as CEO, bringing extensive life science industry experience to guide Biotage's growth trajectory.

• Insights from our recent growth report point to a promising forecast for Biotage's business outlook.
• Click here to discover the nuances of Biotage with our detailed financial health report.

Yubico (OM:YUBICO)

Overview: Yubico AB offers authentication solutions for computers, networks, and online services with a market cap of SEK21.61 billion.

Operations: The company's revenue is primarily derived from its Security Software & Services segment, totaling SEK2.09 billion.

Estimated Discount To Fair Value: 11.1%

Yubico, priced at SEK251, trades below its fair value of SEK282.43, offering a potential undervaluation based on cash flows. The company anticipates robust annual earnings growth of 42.2% over the next three years, surpassing the Swedish market's average of 15.5%. Despite recent volatility in share price and declining profit margins from last year, Yubico's strategic partnerships like with PKO Bank Polski highlight its expanding market presence and revenue prospects.

• Our growth report here indicates Yubico may be poised for an improving outlook.
• Click here and access our complete balance sheet health report to understand the dynamics of Yubico.

Turning Ideas Into Actions

• Investigate our full lineup of 48 Undervalued Swedish Stocks Based On Cash Flows right here.
• Hold shares in these firms? Setup your portfolio in Simply Wall St to seamlessly track your investments and receive personalized updates on your portfolio's performance.
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Want To Explore Some Alternatives?

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

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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