The British stock market would inevitably take a hit should the UK leave the EU. I still think a “Brexit” is mostly unlikely, but if the UK does decide to leave the EU, be prepared to observe some notable undervaluations among some British public companies, especially those with exposure to non-European markets abroad. Where many deals could reside is in companies that obtain much of their profit in US dollars or in a foreign developed market, such as Japan. A UK exit would encourage flight to safe currencies, such as the US dollar and Japanese yen. This would, in turn, cause the value of those US revenue dollars to appreciate despite the company trading on the exchange in British pounds.Also, for those who invest in US equities only, be wary of possible holdings of US companies with high UK exposure. Some notable companies with high-UK revenue exposure include Ford (F), Coca-Cola (KO), eBay (EBAY), Xerox (XRX), and Penske Automotive (PAG).