Sep. 8 at 6:06 PM
$OPRA
Article From Wall Street Week on 9/6/25:
"Opera (NasdaqGS:OPRA): Assessing Valuation Following Guidance Update and Anticipated Q3 Earnings"
If you have been keeping an eye on Opera (NasdaqGS:OPRA), you know it has been on investors' radars for some time, but the conversation has really picked up lately. The latest spark? Opera just wrapped up its presentation at Citi’s Global Technology, Media and Telecommunications Conference, and the buzz is all about its updated guidance and the transformative impact of AI integration across its products. The real highlight is the upcoming Q3 earnings in late November, which many see as a make-or-break moment for the stock's year-end prospects.
Looking back, Opera had a modest day-to-day move, but sentiment has shifted quickly, with nearly 10% growth over the week and a strong 35% return on the year. That is despite a recent cooling in the past three months as the stock digested earlier gains. Underneath these swings, Opera is pushing ahead with AI-powered products in browsers, advertising, and games, while maintaining a solid balance sheet that includes both a net cash position and dividend payouts. It is the kind of setup that often gets growth-minded investors and value hunters debating where things go next.
With a long-term track record and recent developments turning heads, is Opera starting to look like a bargain, or has the market already priced in its next wave of growth?
-- Most Popular Narrative: 30.1% Undervalued --
The prevailing narrative sees Opera as notably undervalued, with potential upside if bullish catalysts play out. The current price suggests a substantial gap versus consensus fair value.
“The upcoming launch and integration of Opera Neon, an AI-native browser designed as a productivity gateway for knowledge workers, positions Opera to capitalize on the workplace shift toward AI-powered workflows, with potential to increase both ARPU through premium subscriptions and overall revenue via higher engagement and differentiated advertising.”
What is really fueling excitement? This narrative banks on big step changes in revenue, margin, and user value. However, how bold are the growth calls at its core? There is one striking forecast that could rewrite Opera’s financial story. Want to see what makes analysts bet on a double-digit growth curve and a valuation higher than the current price? Dig deeper to decode the blueprint behind this bullish outlook.
Result: Fair Value of
$25.50 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, weaker-than-expected adoption of Opera Neon or tougher crypto regulations could quickly cool optimism around Opera’s AI and fintech-driven growth story.
-- Another View: Discounted Cash Flow Model --
While the analyst consensus points to Opera being undervalued, our DCF model also suggests there is upside ahead. Both methods align for now. Will these projections hold up as new results arrive?
Look into how the SWS DCF model arrives at its fair value.
(SEE CHART AT END OF THE ARTICLE)
Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Opera for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.
-- Build Your Own Opera Narrative --
If you think there is another angle worth exploring, or want to draw your own conclusions from the latest data, you can put together a custom view in just a few minutes. Do it your way.
A great starting point for your Opera research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.
