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Europe Equity Market Outlook: Q1 2025

European stocks continue to be undervalued in an improving macroeconomic environment.

As European equity markets move into 2025, economists expect modest growth from falling interest rates, which should benefit the markets. European stocks are trading at a 5% discount to our fair value estimate, and attractive investing opportunities exist across multiple sectors, despite political and tariff concerns.


Our Q1 2025 European Equity Market Outlook analyzes Morningstar’s equity research coverage by equity style box, global equity performance comparisons, sector valuations, and more.


Download the report to strategize which stocks can generate strong returns for your clients in 2025.

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Inside you will find:

  • A breakdown of the impact of interest rates across global economies

  • A comparison of how the European stock market compares to other global markets 

  • Which companies are our analysts’ top stock picks across equity sectors

Get the Report