U.S. stocks might be off to a volatile start in 2026, but European markets continue to soar despite the constant threat of tariffs from the Trump administration.

Europe's largest equity market index, the STOXX 600, is up more than 4% year-to-date (YTD), compared with the S&P 500’s flat performance. With European governments opening their wallets and anticipating economic growth, we could be headed for another year in which U.S. stocks lag their counterparts across the Atlantic.

Today, we'll look at five European stocks leading the charge in 2026. Each company listed here has entered the year on a bullish uptrend and features a Benzinga Edge Momentum Score of at least 90.

Let’s take a look.

Rio Tinto

Benzinga Edge Momentum Rating: 90.03

Rio Tinto (NYSE:RIO) shares have been volatile over the last few sessions as precious metals surge, but the recent pullback might give the stock time to consolidate and flush out investors who don't realize its long-term potential.

The British-Australian company is a diversified mining operation, focusing primarily on iron ore but also mining copper, aluminum, diamonds, and gold. RIO shares are up more than 35% in the last three months, but the stock still trades at just 12.5 times forward earnings and 2.8 times sales.

It also pays a hefty 4% dividend backed by a 64% payout ratio, which is cheaper than dividend-paying mining peers like BHP Group (NYSE:BHP).

The stock has strong long-term bullish momentum, and there's little sign that the rally in precious metals is ready to abate. However, RIO shares recently exhibited short-term warning signs, including an overbought reading on the Relative Strength Index (RSI). But the RSI is now back below 70, and buyers typically rush in once the stock stabilizes. Rio Tinto offers a unique combination of steady income with upside potential, which is why it’s the first entry on our list.

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ASML Holdings

Benzinga Edge Momentum Rating: 95.44

ASML Holdings (NASDAQ:ASML) might be the closest thing to a monopoly in the artificial intelligence industry. The company makes Extreme Ultraviolet (EUV) lithography machines, which are needed to imprint minute designs onto silicon wafers for semiconductors.

ASML might be Europe's most important technology company, as these EUV machines cannot be imitated or replicated and cost upward of $300 million each.

The company sells approximately 40 units annually, and its vast backlog exceeds a full year of revenue. The valuation is pricey at 43 times forward earnings and 14 times sales, but investors usually need to pay up for companies with 52% gross margins.

Like RIO shares, ASML is in the middle of a strong uptrend and recently experienced some healthy volatility. The three-day decline took the RSI out of the overbought range after a nearly 30% January gain, which was likely needed to dissipate some speculative fervor. The 200-day simple moving average (SMA) remains a strong support level, but investors waiting for a drawdown of that magnitude may miss short-term profits.

TechnipFMC

Benzinga Edge Momentum Rating: 92.88

TechnipFMC (NYSE:FTI) might only be half the size of Rio Tinto, but the U.K.-based firm has already soared more than 25% in 2026 and doesn't show any signs of stopping. Formed from the merger of Technip of France and FMC Technologies of the United States, the company is now a global oil and gas firm with operations at sea, offshore, and on land.

The next catalyst is the Q4 2025 earnings release, scheduled for February 19. It’s a highly anticipated report for FTI shareholders, as the company reported its highest EPS ($0.75 per share) in more than 10 years in its Q3 2025 report. 

Bullish momentum is evident on the FTI daily chart, with a strong uptrend confirmed by a bullish cross in the Moving Average Convergence Divergence (MACD) indicator and ongoing support along the 50-day SMA. The MACD and signal lines are also converging again, indicating that volatility is dissipating following an unsustainable short-term rise.

Schmid Group

Benzinga Edge Momentum Rating: 99.04

Schmid Group (NASDAQ:SHMD) is the smallest company on our list, with a $548 million market capitalization, but the firm is significantly expanding its advanced packaging manufacturing capabilities to support AI data center needs. This expansion is necessary, as the company reported only $79 million in annual sales last year, yet management expected at least $116 million in 2026 revenue. 

SHMD shares have the highest Benzinga Edge Momentum score on our list today, and the stock is up more than 55% already in 2026. The momentum began last October when a Golden Cross triggered a bull run, and the 50-day SMA became a strong support level for the uptrend. However, as with many of the stocks we've discussed today, the RSI began to flash overbought, and the uptrend stalled amid heightened volatility. But now the RSI has receded back below 70, and the stock is attempting to make new all-time highs.

Constellium

Benzinga Edge Momentum Rating: 95.10

Amsterdam-based Constellium (NYSE:CSTM) is a diversified aluminum products manufacturer that sells sheet and plate metal, as well as customized precision aluminum parts for cars and aircraft.

The $3 billion company received an upgrade from Wells Fargo last month, which moved the stock from Neutral to Overweight and raised its price target to $25, representing more than 45% upside at the time.

However, this target may be overly conservative: in the three weeks since the upgrade, CSTM shares have already risen to $24.50.

CSTM shares have been trending upward since last summer, guided by support at the 50-day SMA. A recent overbought reading on the RSI stalled the rally, but the company has a catalyst this month with its Q4 2025 earnings report scheduled for February 18. Analysts are expecting $1.9 billion in revenue and EPS of $0.32, figures that were easily surpassed in Q3. Now that the RSI is below 70, the uptrend is likely to resume until the earnings news is released.

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