European shares are expected to rise as US investors increasingly turn to the region for cheaper stock valuations compared to global peers. Experts highlight the "Granolas," a group of 11 undervalued European multinationals including AstraZeneca, LVMH, and ASML, as attractive investment opportunities. Geopolitical tensions, particularly over Ukraine, and increased European military spending, driven by US pressure, have boosted defense and aerospace stocks. Additionally, the potential for regulatory reforms and political stability in Europe, along with the impact of AI advancements like DeepSeek, are seen as positive factors for European markets. Analysts suggest that diversifying portfolios with European investments, particularly through funds like Fidelity European or BlackRock Greater Europe, could offer attractive returns amid global market shifts.