July 2024 Insights Into Stocks On Euronext Paris That May Be Trading Below Estimated Value

In This Article:

Amidst a backdrop of fluctuating European markets, with France's CAC 40 Index recently experiencing a notable decline, investors may find potential opportunities in undervalued stocks. In such an environment, identifying stocks trading below their estimated value could be particularly compelling, as they might offer growth potential that has not yet been recognized by the broader market.

Top 10 Undervalued Stocks Based On Cash Flows In France

Name

Current Price

Fair Value (Est)

Discount (Est)

Cogelec (ENXTPA:ALLEC)

€11.20

€20.46

45.2%

NSE (ENXTPA:ALNSE)

€26.30

€50.98

48.4%

Wavestone (ENXTPA:WAVE)

€57.30

€93.33

38.6%

Thales (ENXTPA:HO)

€154.45

€267.69

42.3%

Lectra (ENXTPA:LSS)

€28.90

€44.70

35.3%

Tikehau Capital (ENXTPA:TKO)

€24.10

€32.70

26.3%

ENENSYS Technologies (ENXTPA:ALNN6)

€0.67

€1.11

39.6%

Vivendi (ENXTPA:VIV)

€10.795

€16.33

33.9%

Figeac Aero Société Anonyme (ENXTPA:FGA)

€5.86

€10.12

42.1%

OVH Groupe (ENXTPA:OVH)

€5.805

€7.63

23.9%

Click here to see the full list of 15 stocks from our Undervalued Euronext Paris Stocks Based On Cash Flows screener.

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

Edenred

Overview: Edenred SE operates a global digital platform offering services and payments solutions for companies, employees, and merchants, with a market capitalization of approximately €10.44 billion.

Operations: The company generates €2.31 billion in revenue from its Business Services segment.

Estimated Discount To Fair Value: 12.3%

Edenred, priced at €41.95, trades below its estimated fair value of €47.84, suggesting a moderate undervaluation based on discounted cash flows. Despite this, the company shows robust prospects with an expected earnings growth of 20.15% per year and revenue growth forecasts aligning at 10.9% annually—outpacing the French market's 5.6%. However, challenges include a high level of debt and profit margins that have declined from last year's 19.9% to 11.6%. Analysts predict a potential price increase of up to 46.8%.

ENXTPA:EDEN Discounted Cash Flow as at Jul 2024

Thales

Overview: Thales S.A. operates globally, offering a range of solutions across defence, aerospace, digital identity and security, and transportation sectors with a market capitalization of approximately €31.92 billion.

Operations: Thales generates revenue through several segments: €10.18 billion from Defence & Security (excluding Digital I&S), €5.34 billion from Aerospace, and €3.42 billion from Digital Identity & Security.