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CVS Group And 2 Other Top Undervalued Small Caps With Insider Action In The United Kingdom

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Amidst a backdrop of global economic uncertainty, as evidenced by recent declines in the FTSE 100 and FTSE 250 indices following disappointing trade data from China, investors might find potential opportunities in undervalued small-cap stocks. In such market conditions, identifying companies with strong fundamentals and insider buying can signal resilience and potential for growth.

Top 10 Undervalued Small Caps With Insider Buying In The United Kingdom

Name

PE

PS

Discount to Fair Value

Value Rating

Breedon Group

12.8x

0.9x

48.96%

★★★★★★

Ultimate Products

9.7x

0.7x

17.37%

★★★★★☆

GB Group

NA

3.2x

22.20%

★★★★★☆

THG

NA

0.4x

43.40%

★★★★★☆

Bytes Technology Group

25.3x

5.7x

-0.31%

★★★★☆☆

Tracsis

45.7x

2.7x

30.65%

★★★★☆☆

CVS Group

21.3x

1.2x

40.82%

★★★★☆☆

Hochschild Mining

NA

1.8x

37.01%

★★★★☆☆

Norcros

7.7x

0.5x

-11.02%

★★★☆☆☆

H&T Group

7.9x

0.8x

-12.02%

★★★☆☆☆

Click here to see the full list of 27 stocks from our Undervalued UK Small Caps With Insider Buying screener.

Let's uncover some gems from our specialized screener.

CVS Group

Simply Wall St Value Rating: ★★★★☆☆

Overview: CVS Group operates veterinary practices, laboratories, crematoria, and an online retail business, with a focus on the veterinary sector.

Operations: The gross profit margin of CVS Group has shown a trend of fluctuation over the years, ranging from approximately 33.71% to 52.31%. Key revenue streams include veterinary practices generating £573 million, followed by online retail business at £49.6 million and laboratories contributing £31.4 million, while the crematorium adds another £11.6 million to the total revenue.

PE: 21.3x

Recently appointed Chair David Wilton demonstrated insider confidence in CVS Group by purchasing 2,500 shares, a notable 38% increase in their holdings. This move aligns with the company's strategic push into technology under Wilton's leadership, aiming to leverage his extensive experience. Despite a high debt level, CVS is poised for potential growth with earnings expected to rise annually by 12.61%. The recent executive reshuffling further underscores a commitment to robust governance and strategic focus.

AIM:CVSG Share price vs Value as at Jul 2024
AIM:CVSG Share price vs Value as at Jul 2024

GB Group

Simply Wall St Value Rating: ★★★★★☆

Overview: GB Group is a company specializing in fraud prevention, identity verification, and location services with a market capitalization of approximately £1.24 billion.

Operations: The company generates its revenue from three primary segments: Fraud, Identity, and Location, contributing £40.20 million, £156.06 million, and £81.07 million respectively. Over recent periods, it has experienced a gross profit margin of approximately 70%, reflecting the cost-effectiveness of its operations relative to revenue generated.