In This Article:
As the United Kingdom braces for a pivotal general election, market sentiment remains cautiously optimistic, evidenced by a modest uptick in the FTSE 100. In this climate of political and economic transition, identifying undervalued small-cap stocks with potential for growth becomes particularly compelling.
Top 10 Undervalued Small Caps With Insider Buying In The United Kingdom
| Name | PE | PS | Discount to Fair Value | Value Rating |
|---|---|---|---|---|
| Stelrad Group | 9.2x | 0.5x | 45.06% | ★★★★★★ |
| Ultimate Products | 10.1x | 0.8x | 14.50% | ★★★★★☆ |
| Norcros | 7.7x | 0.5x | 43.98% | ★★★★★☆ |
| THG | NA | 0.4x | 42.82% | ★★★★★☆ |
| Bytes Technology Group | 28.5x | 6.4x | 16.65% | ★★★★☆☆ |
| CVS Group | 21.2x | 1.2x | 41.34% | ★★★★☆☆ |
| Savills | 37.1x | 0.7x | 27.85% | ★★★☆☆☆ |
| Robert Walters | 20.3x | 0.3x | 39.01% | ★★★☆☆☆ |
| J D Wetherspoon | 21.9x | 0.5x | -60.01% | ★★★☆☆☆ |
| Hochschild Mining | NA | 1.8x | 37.99% | ★★★☆☆☆ |
Here we highlight a subset of our preferred stocks from the screener.
Polar Capital Holdings
Simply Wall St Value Rating: ★★★★★☆
Overview: Polar Capital Holdings is a specialist, investment-led asset manager with a market capitalization of approximately £0.53 billion.
Operations: The Investment Management Business generates revenue primarily through management fees, evidenced by a consistent gross profit margin of approximately 88.53% over recent periods. This segment has shown a net income margin increase from 19.87% to 20.65% in the latest recorded period, reflecting efficient operational management despite fluctuating operating expenses and non-operating costs.
PE: 14.0x
Polar Capital Holdings, reflecting a solid financial trajectory, reported an increase in annual revenues to £197.59 million and net income to £40.79 million, up from the previous year. Insider confidence is evident as they maintained their dividend at 46 pence per share, underscoring stability in shareholder returns despite no recent insider purchases. With earnings per share also rising from last year and a forecasted annual earnings growth of 11.89%, the firm exemplifies potential amidst its peers in the investment sector.
Assura
Simply Wall St Value Rating: ★★★★☆☆
Overview: Assura is a healthcare real estate investment trust (REIT) that specializes in the ownership, management, and development of primary care facilities across the UK, with a market capitalization of approximately £1.76 billion.
Operations: The core segment generated £157.80 million, with a notable gross profit margin of 90.81% as of the latest reporting period. This financial performance is underpinned by a cost of goods sold at £14.50 million and operational expenses amounting to £14.00 million, reflecting the company's streamlined operations despite significant non-operating expenses.