Top Undervalued Small Caps With Insider Action For September 2024

In This Article:

As global markets react to the Federal Reserve's first rate cut in over four years, small-cap stocks have shown notable resilience despite still trailing their previous peaks. The Russell 2000 Index, while outperforming recently, remains approximately 9% below its all-time high from November 2021. In this environment, identifying undervalued small-cap stocks with insider action can be particularly rewarding. These companies often present unique opportunities for growth and value creation amid broader market shifts and economic indicators.

Top 10 Undervalued Small Caps With Insider Buying

Name

PE

PS

Discount to Fair Value

Value Rating

Genus

164.3x

1.9x

0.49%

★★★★★☆

Thryv Holdings

NA

0.7x

26.33%

★★★★★☆

Rogers Sugar

15.8x

0.6x

46.90%

★★★★☆☆

Calfrac Well Services

2.5x

0.2x

-55.44%

★★★★☆☆

Franklin Financial Services

9.8x

1.9x

39.21%

★★★★☆☆

Primaris Real Estate Investment Trust

12.7x

3.4x

41.18%

★★★★☆☆

Studsvik

20.2x

1.2x

42.32%

★★★☆☆☆

Community West Bancshares

18.7x

2.9x

42.25%

★★★☆☆☆

Orion Group Holdings

NA

0.3x

-102.15%

★★★☆☆☆

Delek US Holdings

NA

0.1x

-220.20%

★★★☆☆☆

Click here to see the full list of 180 stocks from our Undervalued Small Caps With Insider Buying screener.

Let's explore several standout options from the results in the screener.

Shanghai Chicmax Cosmetic

Simply Wall St Value Rating: ★★★★☆☆

Overview: Shanghai Chicmax Cosmetic is a company focused on the manufacture and sale of cosmetic products with operations generating CN¥6.11 billion.

Operations: The company generates revenue primarily from the manufacture and sale of cosmetic products, with a recent revenue figure reaching CN¥6106.30 million. The gross profit margin has shown an upward trend, peaking at 74.96% as of June 2024. Operating expenses are significant, driven largely by sales and marketing costs which amounted to CN¥3406.32 million in the same period.

PE: 19.2x

Shanghai Chicmax Cosmetic, a small cap company, has shown significant growth with sales reaching CNY 3.5 billion and net income hitting CNY 401.2 million for the half year ending June 30, 2024. Earnings per share rose to CNY 1.01 from CNY 0.25 a year ago, reflecting strong performance in its major brand KANS and second-tier brand newpage. Insider confidence is evident with recent share purchases by executives in the past six months, indicating potential undervaluation of the stock's current price levels.

SEHK:2145 Ownership Breakdown as at Sep 2024
SEHK:2145 Ownership Breakdown as at Sep 2024

Gemdale Properties and Investment

Simply Wall St Value Rating: ★★★★☆☆