In a market stressed by tariff uncertainty and choppy trading, small‑cap stocks are feeling the squeeze too.
But when insiders start buying their shares, investors take notice. Simply Wall St’s latest screen highlights 77 U.S. small caps trading well below fair value and showing insider buying activity.
Here are three standouts that deserve a spot on your watchlist:
MasterCraft Boat Holdings (NasdaqGM: MCFT)
- PE Ratio: –36.5x (loss-making)
- Discount to Fair Value: ~48%
- Insider Signal: $18.8 M in share buybacks since July 2023
MasterCraft’s premium powerboats may seem niche, but insiders are doubling down despite a recent dip in gross margins (from 28% to 15%).
Analysts are forecasting a 145% annual EPS growth, and with new leadership stepping in, the stock’s steep discount could be golden, or should we say fiberglass opportunity.
Kearny Financial (NasdaqGS: KRNY)
- PE Ratio: –5.2x
- Discount to Fair Value: ~39%
- Insider Signal: Executives have increased purchases over the past year
This thrift and savings bank just swung back to profitability. It reported a US$6.6 M net income in Q2 FY25 versus a US$13.8 M loss last year.
Its earnings are projected to soar 146% annually, and insiders scooping up stock at these levels. Clearly, Kearny’s turnaround story is gaining steam.
Shore Bancshares (NasdaqGM: SHBI)
- PE Ratio: 9.1x
- Discount to Fair Value: ~20%
- Dividend: ₹0.12 per share paid in February 2025
This community bank is firing on all cylinders.
Their Q4 net income jumped to US$13.3 M from US$10.5 M, and full‑year profits quadrupled.
Insiders have been steadily adding to their stakes, which is a sign that they’re confident in this stock.
At a 9x PE and trading 20% below intrinsic value, Shore Bancshares yield, growth, and insider conviction are taking it places.
MasterCraft Boat, Kearny Financial, and Shore Bancshares have strong insider support and catalysts for growth. So, if you’re hunting for undervalued small caps likely to rebound, these three names deserve a closer look.
