Discover These 3 Undiscovered Gems in Sweden with Strong Fundamentals
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As global markets react to the recent Fed rate cut, small-cap stocks have shown notable resilience, with indices like the Russell 2000 outperforming their larger counterparts. This environment of lower interest rates can be particularly beneficial for small-cap companies that often rely more heavily on borrowing. In this context, identifying stocks with strong fundamentals becomes crucial. Here are three undiscovered gems in Sweden that exhibit robust financial health and growth potential.
Top 10 Undiscovered Gems With Strong Fundamentals In Sweden
| Name | Debt To Equity | Revenue Growth | Earnings Growth | Health Rating |
|---|---|---|---|---|
| Softronic | NA | 3.58% | 7.41% | ★★★★★★ |
| Bahnhof | NA | 9.02% | 15.02% | ★★★★★★ |
| Duni | 29.33% | 10.78% | 22.98% | ★★★★★★ |
| Firefly | NA | 16.04% | 32.29% | ★★★★★★ |
| AB Traction | NA | 5.38% | 5.19% | ★★★★★★ |
| Creades | NA | -28.54% | -27.09% | ★★★★★★ |
| Svolder | NA | -22.68% | -24.17% | ★★★★★★ |
| Byggm?stare Anders J Ahlstr?m Holding | NA | 30.31% | -9.00% | ★★★★★★ |
| Linc | NA | 56.01% | 0.54% | ★★★★★★ |
| Solid F?rs?kringsaktiebolag | NA | 7.64% | 28.44% | ★★★★☆☆ |
Let's review some notable picks from our screened stocks.
AQ Group
Simply Wall St Value Rating: ★★★★★★
Overview: AQ Group AB (publ) manufactures and sells components and systems for industrial customers in Sweden, other European countries, and internationally, with a market cap of SEK11.74 billion.
Operations: AQ Group AB (publ) generates revenue primarily from its Component segment, which accounts for SEK7.87 billion, and its System segment, contributing SEK1.78 billion. The company has a market cap of SEK11.74 billion.
AQ Group, a small cap in Sweden's electrical industry, has seen earnings growth of 19.3% over the past year, outpacing the industry's 0.6%. The company trades at 87.6% below its estimated fair value and has reduced its debt to equity ratio from 36.3% to 7.3% over five years. Recent additions to the S&P Global BMI Index and a net income rise from SEK 170 million to SEK 180 million highlight its potential for investors seeking undervalued opportunities in this sector.
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Click to explore a detailed breakdown of our findings in AQ Group's health report.
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Understand AQ Group's track record by examining our Past report.
Creades
Simply Wall St Value Rating: ★★★★★★
Overview: Creades AB is a private equity and venture capital investment firm that focuses on early to late-stage ventures, emerging growth, middle market, growth capital, and buyout investments with a market cap of SEK10.43 billion.
Operations: Creades AB generates revenue primarily from its investments in online retailers, amounting to SEK1.11 billion.