Exploring 3 Undervalued Small Caps With Insider Action In None
In This Article:
In the current global market landscape, rising U.S. Treasury yields have exerted pressure on equities, with small-cap stocks underperforming their large-cap counterparts as seen in the recent decline of indices like the Russell 2000. Despite this challenging environment, opportunities can still be found within small-cap stocks that are trading below their intrinsic value and exhibit solid fundamentals. Identifying such stocks requires a keen understanding of market dynamics and economic indicators to uncover potential investments that may thrive despite broader market headwinds.
Top 10 Undervalued Small Caps With Insider Buying
| Name | PE | PS | Discount to Fair Value | Value Rating |
|---|---|---|---|---|
| Senior | 17.9x | 0.6x | 38.23% | ★★★★★★ |
| Bytes Technology Group | 22.0x | 5.6x | 12.45% | ★★★★★☆ |
| Lion Rock Group | 5.6x | 0.4x | 48.79% | ★★★★☆☆ |
| Avia Avian | 17.9x | 4.1x | 3.32% | ★★★★☆☆ |
| Calfrac Well Services | 2.5x | 0.2x | 19.57% | ★★★★☆☆ |
| Freehold Royalties | 14.0x | 6.5x | 49.48% | ★★★★☆☆ |
| Cheerwin Group | 11.8x | 1.5x | 44.01% | ★★★☆☆☆ |
| Semen Indonesia (Persero) | 16.4x | 0.8x | 18.65% | ★★★☆☆☆ |
| Community West Bancshares | 18.7x | 2.9x | 42.25% | ★★★☆☆☆ |
| Delek US Holdings | NA | 0.1x | -54.39% | ★★★☆☆☆ |
Here's a peek at a few of the choices from the screener.
Insignia Financial
Simply Wall St Value Rating: ★★★★★☆
Overview: Insignia Financial operates in the financial services sector, offering advice, platforms, and asset management solutions, with a market capitalization of A$2.5 billion.
Operations: The company's revenue streams are primarily derived from Platforms (A$1.16 billion), followed by Advice (A$527.90 million) and Asset Management (A$222.80 million). Over recent periods, the gross profit margin has shown a notable increase, reaching 36.72% as of October 2024, indicating an improvement in cost management relative to revenue generation.
PE: -12.0x
Insignia Financial, operating within the smaller company segment, has faced a challenging year with reported sales of A$1.94 billion and a net loss of A$185.3 million for the year ending June 2024. Despite these financial setbacks, insider confidence is evident as executives have shown commitment through share purchases over recent months. The company's reliance on external borrowing adds risk to its funding structure; however, earnings are projected to grow annually by 55%.
-
Dive into the specifics of Insignia Financial here with our thorough valuation report.
-
Understand Insignia Financial's track record by examining our Past report.
Sabre
Simply Wall St Value Rating: ★★★☆☆☆
Overview: Sabre operates as a technology solutions provider to the global travel and tourism industry, with a focus on travel and hospitality solutions, and has a market capitalization of approximately $2.21 billion.