As European markets navigate the complexities of international trade tensions and fluctuating inflation rates, small-cap stocks have become a focal point for investors seeking opportunities amidst broader economic shifts. With the pan-European STOXX Europe 600 Index showing modest gains and expectations of potential interest rate cuts by the European Central Bank, identifying promising small-cap stocks involves assessing those with solid fundamentals and notable insider activity that may signal confidence in their future performance.

Top 10 Undervalued Small Caps With Insider Buying In Europe

Click here to see the full list of 79 stocks from our Undervalued European Small Caps With Insider Buying screener.

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

Corbion

Simply Wall St Value Rating: ★★★☆☆☆

Overview: Corbion specializes in producing sustainable ingredient solutions, focusing on health and nutrition as well as functional ingredients and solutions, with a market cap of approximately €1.98 billion.

Operations: Corbion generates revenue primarily from its Functional Ingredients & Solutions segment, accounting for €997.90 million, and the Health & Nutrition segment, contributing €290.20 million. The company's gross profit margin has shown fluctuations over time, with a notable value of 23.71% in mid-2024. Operating expenses have been consistently significant across periods, impacting net income margins which have varied throughout the years but reached 5.57% in mid-2024.

PE: 24.3x

Corbion, a European player in sustainable solutions, is making waves with its earnings forecasted to grow 19.67% annually. Despite relying on external borrowing for funding, which poses higher risk compared to customer deposits, the company maintains insider confidence with recent share purchases by insiders earlier this year. The announcement of a €0.64 dividend per share signals financial resilience and commitment to shareholder returns as they navigate their growth trajectory within the industry.

• Get an in-depth perspective on Corbion's performance by reading our valuation report here.

• Gain insights into Corbion's historical performance by reviewing our past performance report.

Picton Property Income

Simply Wall St Value Rating: ★★★★★☆

Overview: Picton Property Income is a UK-based real estate investment company focused on acquiring and managing a diversified portfolio of commercial properties, with a market capitalization of approximately £0.47 billion.

Operations: Picton Property Income generates revenue primarily from its real estate investments, with recent figures showing £54.02 million in revenue. The company's cost of goods sold (COGS) was £16.34 million, resulting in a gross profit of £37.68 million and a gross profit margin of 69.75%. Operating expenses amounted to £6.78 million, while non-operating expenses were reported at -£6.43 million, impacting the net income positively to reach £37.32 million with a net income margin of 69.09%.

PE: 11.0x

Picton Property Income shows potential as an undervalued investment within the European market. Recent financials reveal a turnaround, with net income reaching £37.32 million for the year ending March 2025, compared to a prior loss of £4.79 million. Insider confidence is evident with Francis Salway's purchase of 295,371 shares valued at approximately £218,574 in April 2025. A new £50 million revolving credit facility enhances its financial flexibility while maintaining fixed-rate borrowings until 2031, suggesting stability amid growth prospects.

• Delve into the full analysis valuation report here for a deeper understanding of Picton Property Income.

• Examine Picton Property Income's past performance report to understand how it has performed in the past.

Europris

Simply Wall St Value Rating: ★★★★☆☆

Overview: Europris is a Norwegian retail company specializing in variety stores, with a market capitalization of NOK 12.18 billion.

Operations: The company generates revenue primarily from its retail variety stores, with the most recent quarterly revenue reported at NOK 13.66 billion. The cost of goods sold (COGS) for the same period was NOK 8.09 billion, leading to a gross profit margin of 40.78%. Operating expenses include general and administrative costs, which amounted to NOK 2.21 billion in the latest quarter, contributing to a net income of NOK 710.42 million and a net income margin of 5.20%.

PE: 18.8x

Europris, a discount retailer in Norway, is expanding its footprint with five new stores opened in 2025, reaching a total of 287 locations. Despite a challenging first quarter with a net loss of NOK 80 million and decreased profit margins from last year’s 9.2% to 5.2%, insider confidence is evident as an independent director purchased shares worth nearly NOK 300,000 recently. Earnings are projected to grow by over 21% annually, signaling potential for future growth despite reliance on external borrowing for funding.

• Unlock comprehensive insights into our analysis of Europris stock in this valuation report.

• Assess Europris' past performance with our detailed historical performance reports.

Seize The Opportunity

• Delve into our full catalog of 79 Undervalued European Small Caps With Insider Buying here.
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Ready To Venture Into Other Investment Styles?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
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• Find companies with promising cash flow potential yet trading below their fair value.

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.

Companies discussed in this article include ENXTAM:CRBN LSE:PCTN and OB:EPR.

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