As the European markets navigate a landscape of mixed economic signals and fluctuating indices, investors are increasingly curious about opportunities in smaller, lesser-known companies. Penny stocks, despite their somewhat outdated moniker, continue to capture attention for their potential to combine affordability with growth prospects. In this article, we will explore several European penny stocks that exhibit strong financial fundamentals and could offer intriguing possibilities for those interested in the potential of emerging market players.

Name

Share Price

Market Cap

Financial Health Rating

DigiTouch (BIT:DGT)

€1.985

€27.43M

★★★★★★

Angler Gaming (NGM:ANGL)

SEK3.60

SEK269.95M

★★★★★★

Angler Gaming (DB:0QM)

€0.37

€231.7M

★★★★★★

Hove (CPSE:HOVE)

DKK4.68

DKK118.33M

★★★★★★

Siili Solutions Oyj (HLSE:SIILI)

€4.81

€39M

★★★★★★

Nurminen Logistics Oyj (HLSE:NLG1V)

€0.977

€78.84M

★★★★★☆

Faes Farma (BME:FAE)

€4.525

€1.41B

★★★★★☆

Deceuninck (ENXTBR:DECB)

€2.04

€281.97M

★★★★★★

Dovre Group (HLSE:DOV1V)

€0.0798

€8.44M

★★★★★☆

Netgem (ENXTPA:ALNTG)

€0.924

€30.94M

★★★★★★

Click here to see the full list of 275 stocks from our European Penny Stocks screener.

Let’s uncover some gems from our specialized screener.

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: Metsä Board Oyj operates in the folding boxboard, fresh fibre linerboard, and market pulp sectors both in Finland and internationally, with a market cap of €1.08 billion.

Operations: The company’s revenue is generated entirely from its folding boxboard, fresh fibre linerboard, and market pulp businesses, amounting to €1.89 billion.

Market Cap: €1.08B

Metsä Board Oyj, with a market cap of €1.08 billion, operates in the folding boxboard and market pulp sectors. Despite being unprofitable with increasing losses over the past five years, its short-term assets exceed liabilities, indicating financial resilience. Recent earnings showed declining sales and a net loss for the third quarter of 2025. However, strategic moves like a €250 million revolving credit facility linked to sustainability targets and a €60 million modernization project at its Simpele mill highlight efforts towards operational efficiency and environmental goals. The management team is relatively new but supported by an experienced board of directors.

HLSE:METSB Debt to Equity History and Analysis as at Oct 2025 HLSE:METSB Debt to Equity History and Analysis as at Oct 2025

Simply Wall St Financial Health Rating: ★★★★★★

Overview: NEXT Biometrics Group ASA, along with its subsidiaries, offers fingerprint sensor technology across Asia, Europe, Africa, and North America with a market cap of NOK419.51 million.

Operations: The company generates NOK45.17 million in revenue from its fingerprint sensor technology segment.

Market Cap: NOK419.51M

NEXT Biometrics Group ASA, with a market cap of NOK419.51 million, faces challenges as it remains unprofitable despite generating NOK45.17 million in revenue from its fingerprint sensor technology segment. The company recently completed a NOK20 million follow-on equity offering to bolster its cash runway, which was previously estimated at 3-4 months based on free cash flow. NEXT’s short-term assets significantly exceed both short and long-term liabilities, providing some financial stability. A recent large-scale order for their FAP 30 ‘Granite’ sensor indicates potential growth opportunities in government ID programs across Africa and Latin America.

OB:NEXT Financial Position Analysis as at Oct 2025 OB:NEXT Financial Position Analysis as at Oct 2025

Simply Wall St Financial Health Rating: ★★★★★☆

Overview: hGears AG develops, manufactures, distributes, and supplies precision components and subsystems globally with a market cap of €20.59 million.

Operations: The company generates revenue from various regions, with €7.31 million from the USA, €6.14 million from China, and €14.92 million from the Rest of The World.

Market Cap: €20.59M

hGears AG, with a market cap of €20.59 million, is navigating the penny stock landscape despite its current unprofitability and high volatility. The company reported half-year sales of €49.58 million, slightly down from the previous year, yet reduced its net loss to €6.48 million from €8.09 million a year ago. Its debt situation has improved significantly over five years, with a net debt to equity ratio now at 14.6%. While hGears has reaffirmed revenue guidance between €80-90 million for 2025, it remains challenged by profitability forecasts and volatile share price movements.

XTRA:HGEA Debt to Equity History and Analysis as at Oct 2025 XTRA:HGEA Debt to Equity History and Analysis as at Oct 2025

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 HLSE:METSB OB:NEXT and XTRA:HGEA.

This article was originally published by Simply Wall St.

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