Swedish Exchange Highlights Three Stocks Estimated As Undervalued

In This Article:

As global markets navigate through a period of political uncertainties and economic adjustments, Sweden's stock market presents a unique landscape for investors seeking value. Amidst mixed performances across major European indices and heightened economic sentiment, certain Swedish stocks appear undervalued, offering potential opportunities in the current environment. Understanding what constitutes an undervalued stock is crucial, especially in a market influenced by regional economic shifts and global financial trends. Stocks that are priced below their perceived intrinsic value, yet have strong fundamentals, may stand out as attractive investments during these fluctuating times.

Top 10 Undervalued Stocks Based On Cash Flows In Sweden

Name

Current Price

Fair Value (Est)

Discount (Est)

RVRC Holding (OM:RVRC)

SEK45.70

SEK84.90

46.2%

Bj?rn Borg (OM:BORG)

SEK55.70

SEK101.95

45.4%

Alleima (OM:ALLEI)

SEK68.80

SEK127.70

46.1%

Nordic Waterproofing Holding (OM:NWG)

SEK161.40

SEK297.88

45.8%

Biotage (OM:BIOT)

SEK163.10

SEK298.04

45.3%

RaySearch Laboratories (OM:RAY B)

SEK141.40

SEK280.69

49.6%

Nolato (OM:NOLA B)

SEK57.50

SEK111.76

48.6%

MilDef Group (OM:MILDEF)

SEK66.30

SEK131.92

49.7%

Humble Group (OM:HUMBLE)

SEK10.05

SEK19.45

48.3%

Hexatronic Group (OM:HTRO)

SEK50.90

SEK99.25

48.7%

Click here to see the full list of 51 stocks from our Undervalued Swedish Stocks Based On Cash Flows screener.

Let's dive into some prime choices out of from the screener

Biotage

Overview: Biotage AB (publ) specializes in providing solutions and products for drug discovery and development, analytical testing, as well as water and environmental testing, with a market capitalization of SEK 13.05 billion.

Operations: The company generates SEK 1.98 billion from its healthcare software segment.

Estimated Discount To Fair Value: 45.3%

Biotage, trading at SEK 163.1, is significantly undervalued based on DCF analysis with a fair value of SEK 298.04, representing a substantial discount. Despite recent earnings dip to SEK 33 million from last year's SEK 43 million, the company's revenue and earnings are expected to outpace the Swedish market with forecasts of 11.2% and 20% annual growth respectively. However, its return on equity is projected to remain low at around 12.2% in three years' time.

OM:BIOT Discounted Cash Flow as at Jul 2024
OM:BIOT Discounted Cash Flow as at Jul 2024

Lime Technologies

Overview: Lime Technologies AB (publ) specializes in providing SaaS-based customer relationship management (CRM) solutions across the Nordic region, with a market capitalization of approximately SEK 4.65 billion.