Undervalued Small Caps In Australia With Insider Buying For August 2024
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The Australian market has shown promising performance, climbing 2.2% in the last 7 days and 6.6% over the past year, with earnings forecasted to grow by 13% annually. In this favorable environment, identifying undervalued small-cap stocks with insider buying can present compelling opportunities for investors looking to capitalize on potential growth.
Top 10 Undervalued Small Caps With Insider Buying In Australia
| Name | PE | PS | Discount to Fair Value | Value Rating |
|---|---|---|---|---|
| RAM Essential Services Property Fund | NA | 5.9x | 44.66% | ★★★★★☆ |
| Healius | NA | 0.6x | 46.58% | ★★★★★☆ |
| Elders | 22.6x | 0.5x | 49.87% | ★★★★☆☆ |
| Eagers Automotive | 9.4x | 0.3x | 42.18% | ★★★★☆☆ |
| DUG Technology | 57.9x | 4.0x | 9.72% | ★★★★☆☆ |
| Codan | 29.8x | 4.4x | 33.72% | ★★★★☆☆ |
| Neuren Pharmaceuticals | 13.0x | 8.8x | -17.34% | ★★★★☆☆ |
| Coventry Group | 293.5x | 0.4x | 1.30% | ★★★★☆☆ |
| Dicker Data | 22.7x | 0.8x | 8.55% | ★★★☆☆☆ |
| FINEOS Corporation Holdings | NA | 2.5x | -743.39% | ★★★☆☆☆ |
Here's a peek at a few of the choices from the screener.
Codan
Simply Wall St Value Rating: ★★★★☆☆
Overview: Codan is a technology company specializing in communications and metal detection solutions, with a market cap of A$1.40 billion.
Operations: Codan generates revenue primarily from its Communications and Metal Detection segments, with the former contributing A$291.50 million and the latter A$212.20 million. The company's gross profit margin has shown variability, with recent figures around 54.42%.
PE: 29.8x
Codan, a small Australian tech company, shows potential as an undervalued stock. Recent insider confidence is evident with board members purchasing shares in June 2024. Despite relying on higher risk external borrowing for funding, Codan's earnings are projected to grow by 16.2% annually. This growth outlook highlights the company's resilience and potential for future value appreciation amidst its financial structure challenges.
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Get an in-depth perspective on Codan's performance by reading our valuation report here.
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Examine Codan's past performance report to understand how it has performed in the past.
Dicker Data
Simply Wall St Value Rating: ★★★☆☆☆
Overview: Dicker Data is a wholesale distributor specializing in computer peripherals with a market cap of A$1.84 billion.
Operations: The company generates revenue primarily from wholesale computer peripherals, with a gross profit margin of 14.23% as of the latest period ending December 31, 2023. Operating expenses include significant allocations to general and administrative costs and non-operating expenses.
PE: 22.7x
Dicker Data, a tech distributor in Australia, has seen significant insider confidence with executives purchasing shares consistently over the past year. Their earnings are projected to grow at 7.83% annually, indicating potential for future profitability. Despite having a high level of debt funded through external borrowing, the company maintains a strong market position without relying on customer deposits. Recent financial performance and continuous insider buying suggest that Dicker Data could be undervalued in its sector.