Exploring Three Undervalued Small Caps With Insider Action In The Region
In This Article:
As global markets exhibit mixed reactions with a notable pivot towards small-cap and value shares, investors are keenly observing shifts in market dynamics influenced by economic indicators and geopolitical tensions. Amidst these conditions, identifying undervalued small-cap stocks that demonstrate insider buying can be particularly compelling, as such actions often signal confidence in the company's future prospects from those who know it best.
Top 10 Undervalued Small Caps With Insider Buying
| Name | PE | PS | Discount to Fair Value | Value Rating |
|---|---|---|---|---|
| Bytes Technology Group | 25.0x | 5.7x | 0.71% | ★★★★★☆ |
| Hanover Bancorp | 8.9x | 2.0x | 46.13% | ★★★★★☆ |
| Calfrac Well Services | 2.3x | 0.2x | 27.94% | ★★★★★☆ |
| Primaris Real Estate Investment Trust | 11.5x | 3.0x | 34.80% | ★★★★★☆ |
| Thryv Holdings | NA | 0.7x | 28.59% | ★★★★★☆ |
| AtriCure | NA | 2.8x | 46.29% | ★★★★★☆ |
| Norcros | 8.2x | 0.6x | -16.38% | ★★★☆☆☆ |
| Russel Metals | 9.2x | 0.5x | -7.78% | ★★★☆☆☆ |
| Community West Bancshares | 18.7x | 2.9x | 42.25% | ★★★☆☆☆ |
| Delek US Holdings | NA | 0.1x | -120.08% | ★★★☆☆☆ |
Here's a peek at a few of the choices from the screener.
Petco Health and Wellness Company
Simply Wall St Value Rating: ★★★★★☆
Overview: Petco Health and Wellness Company is a specialty retailer offering pet-related products and services, with a market capitalization of approximately $2.53 billion.
Operations: Specialty Retail generates significant revenue, totaling $6.23 billion, with a notable gross profit margin of 37.38% in the most recent fiscal period. The company's cost of goods sold recently amounted to $3.90 billion, reflecting substantial operational costs impacting profitability.
PE: -0.7x
Petco Health and Wellness Company, recently added to the Russell 2000 Index, reflects a strategic pivot with Joel D. Anderson's appointment as CEO, effective July 29, 2024. Anderson's leadership at Five Below saw significant expansion and revenue growth, signaling potential for similar achievements at Petco. Despite recent earnings volatility and a net loss in Q1 2025, insider confidence is evident as executives recently purchased shares, underscoring belief in the company’s trajectory amidst operational enhancements.
Biotage
Simply Wall St Value Rating: ★★★☆☆☆
Overview: Biotage is a company specializing in healthcare software, with a market capitalization of approximately SEK 2.08 billion.
Operations: Healthcare Software generated SEK 2.08 billion in revenue, with a notable gross profit margin of 62.73% as of the latest period. The company's net income for the same period stood at SEK 251 million, reflecting a net income margin of approximately 12.08%.