Earnings will 'make or break' European stocks — here's what to watch, according to analysts

For upside, Fowler named European lender Santander , industrial giant Atlas Copco and pan-European airline Ryanair . He named Siemens Energy , semiconductor company Nordic Semi and Swedish miner Boliden for downside surprises.

Fowler said UBS analysts have historically been pretty accurate at predicting surprises, especially when combined with a value investing bias, which has tended to outperform. Fowler also looked at how institutional investors, such as hedge funds, have positioned themselves in each stock based on prime brokerage data across the industry. Stocks primed for a positive surprise due to overly negative sentiment include Vonovia and Universal Music Group .

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