Undervalued Small Caps In Canada With Insider Action
In This Article:
The Canadian market has been flat in the last week but is up 13% over the past year, with earnings expected to grow by 15% per annum over the next few years. In this environment, identifying undervalued small-cap stocks with insider action can present compelling opportunities for investors seeking growth potential.
Top 10 Undervalued Small Caps With Insider Buying In Canada
| Name | PE | PS | Discount to Fair Value | Value Rating |
|---|---|---|---|---|
| Calfrac Well Services | 2.7x | 0.2x | 34.96% | ★★★★★★ |
| Nexus Industrial REIT | 3.6x | 3.6x | 22.76% | ★★★★★☆ |
| Obsidian Energy | 6.5x | 1.0x | 49.17% | ★★★★★☆ |
| Flagship Communities Real Estate Investment Trust | 3.6x | 3.8x | 45.97% | ★★★★★☆ |
| Trican Well Service | 8.1x | 1.0x | 7.17% | ★★★★☆☆ |
| Hemisphere Energy | 6.0x | 2.3x | 9.20% | ★★★★☆☆ |
| Calibre Mining | 25.4x | 2.4x | 49.75% | ★★★★☆☆ |
| Sagicor Financial | 1.3x | 0.3x | -42.43% | ★★★★☆☆ |
| Primaris Real Estate Investment Trust | 11.6x | 3.1x | 42.65% | ★★★★☆☆ |
| VersaBank | 10.2x | 4.1x | -15.63% | ★★★☆☆☆ |
Below we spotlight a couple of our favorites from our exclusive screener.
Chemtrade Logistics Income Fund
Simply Wall St Value Rating: ★★★★★★
Overview: Chemtrade Logistics Income Fund operates in the industrial chemicals and services sector, with a market cap of approximately CA$0.83 billion.
Operations: Chemtrade Logistics Income Fund generates revenue primarily from its EC and SWC segments, totaling CA$1.78 billion. The company's gross profit margin reached 23.77% in the most recent period, with operating expenses at CA$147.04 million impacting net income, which stood at CA$139.02 million for the same period.
PE: 8.4x
Chemtrade Logistics Income Fund, a small cap stock in Canada, has shown insider confidence with share purchases between May 15 and August 13, 2024. Despite high debt levels and earnings forecasted to decline by 1% annually over the next three years, the company maintains regular cash distributions of C$0.055 per unit. Recent financials reveal Q2 sales at C$448 million and net income at C$14.6 million compared to last year’s C$87 million.
Flagship Communities Real Estate Investment Trust
Simply Wall St Value Rating: ★★★★★☆
Overview: Flagship Communities Real Estate Investment Trust operates primarily in the residential real estate sector, managing and acquiring manufactured housing communities with a market cap of approximately C$0.52 billion.
Operations: Flagship Communities Real Estate Investment Trust generates revenue primarily from its residential REIT segment, with the latest quarterly revenue reaching $78.07 million. The company experienced a gross profit margin of 66.12% in the most recent period, reflecting its ability to manage costs effectively relative to revenue generation.