ASX:TNY
ASX:TNYInteractive Media and Services

3 ASX Penny Stocks With Market Caps Under A$200M

Australian shares are poised for a rebound, with futures indicating a positive open as local investors take cues from Wall Street's recent gains. For those interested in exploring smaller or newer companies, penny stocks—despite their somewhat dated terminology—continue to offer intriguing opportunities. By focusing on firms with solid financial foundations and potential for growth, investors may uncover valuable prospects within the realm of penny stocks.
NasdaqGM:AVDL
NasdaqGM:AVDLPharmaceuticals

Avadel Pharmaceuticals (AVDL): Revenue Forecast to Grow 15.6% Annually Heading Into Earnings Season

Avadel Pharmaceuticals (AVDL) continues to operate at a loss, with losses having grown at an average annual rate of 12.4% over the past five years and a net profit margin that remains unimproved year over year. Despite its current lack of profitability, Avadel’s revenue is forecast to climb 15.6% annually, which is ahead of the broader US market’s 10.5%. Earnings are projected to surge by 40.12% each year. The company is anticipated to reach profitability within three years, and with its...
TSE:8591
TSE:8591Diversified Financial

Is ORIX’s Share Buybacks and Expansion Signaling Opportunity for 2025 Investors?

Wondering whether ORIX is a hidden gem or an overhyped stock? You are not alone, especially if you are looking for value plays in today’s shifting market. The stock has delivered an impressive 17.8% return over the last year, achieving 11.9% year-to-date and nearly doubling over three years. However, it dipped slightly by -2.2% over the past month. Much of the recent price movement is being discussed in the context of ORIX’s continual expansion into global infrastructure...
TSX:PZA
TSX:PZAHospitality

Pizza Pizza (TSX:PZA) Discounted Valuation Reinforces Yield Narrative as Dividend Risks Dominate Investor Focus

Pizza Pizza Royalty (TSX:PZA) posted a net profit margin of 77.3%, slightly below the prior year's 77.9%, as revenue is forecast to grow at 3.1% per year compared to the Canadian market's pace of 5.1%. Over the last five years, earnings growth averaged 7.3% annually, though the most recent year saw negative earnings, making year-over-year comparisons less meaningful for this period. Against this backdrop, investors will be weighing up the company's slower forecasted growth and strong...
NYSE:UP
NYSE:UPAirlines

Wheels Up (UP): Losses Widen 21.3% Annually, Challenging Bullish Margin Narratives

Wheels Up Experience (UP) remains unprofitable, with losses widening at an annual rate of 21.3% over the past five years. Margins have shown no signs of recovery, and profitability is still in the red. With a Price-to-Sales Ratio of 1.1x, the company trades at a premium compared to both its peers (0.4x) and the industry average (0.5x), which further underscores caution around its current valuation. See our full analysis for Wheels Up Experience. The next section puts these earnings numbers...
NYSE:OI
NYSE:OIPackaging

O-I Glass (OI): Profit Forecast Rebound Challenges Bearish Narrative on Turnaround Potential

O-I Glass (OI) has posted widening losses, with net losses rising at an annual rate of 39.2% over the past five years. Looking ahead, analysts expect a dramatic turnaround for the company. Earnings are forecast to grow 65.89% per year, with profitability expected within the next three years. This growth rate outpaces the broader US market. See our full analysis for O-I Glass. Next up, we'll see how these results compare to the prevailing narratives, revealing where numbers match expectations...
NYSE:VOYA
NYSE:VOYADiversified Financial

Voya Financial (VOYA) Margin Decline Reinforces Investor Focus on Discounted Valuation and Dividend

Voya Financial (VOYA) reported revenue growth projections of 4.4% per year and expects annual EPS to rise 13.5%, both lagging behind the broader US market’s respective averages of 10.5% and 16%. Current net profit margin is 6.2%, down from 10.4% a year ago, and earnings have declined on average by 14.9% annually over the past five years. With these margin and growth headwinds, investor focus is likely to remain fixed on Voya’s discounted valuation, robust earnings quality, and attractive...
NYSE:WTRG
NYSE:WTRGWater Utilities

Essential Utilities (WTRG) Margin Dip Reinforces Dividend and Financial Sustainability Concerns

Essential Utilities (WTRG) reported annual earnings growth of 7.5% and revenues forecast to rise 5.7% per year. Both figures are running below US market averages of 16% for revenue and 10.5% for earnings. Current net profit margins sit at 27.6%, just shy of last year’s 28.7%. The company’s five-year profit growth rate of 13.2% and a recent earnings jump of 16% demonstrate some resilience. A price-to-earnings ratio of 17.2x places shares below peer averages, even as the current share price...
NasdaqGS:BOOM
NasdaqGS:BOOMEnergy Services

DMC Global (BOOM) Net Losses Worsen 65.5% Annually, Reinforcing Bearish Profitability Concerns

DMC Global (BOOM) recorded a continued rise in net losses, with the bottom line deteriorating at an annual rate of 65.5% over the past five years, and no improvement in net profit margin. At the same time, shares are trading well below fair value at $6.25, compared to an estimated fair value of $13.29. The company's price-to-sales ratio stands at just 0.2x, significantly undercutting both the US Energy Services industry and its peers. While the persistent unprofitability and weak margins are...
NYSE:HMN
NYSE:HMNInsurance

Horace Mann (HMN): Margin Rebound Reinforces Narrative of Improving Profitability Despite Slow Revenue Outlook

Horace Mann Educators (HMN) posted a notable turnaround in its latest results, with EPS margins climbing to 8.5% compared to 5.2% last year, and a dramatic 71.9% earnings growth over the prior period. This reverses a five-year trend of 14.4% annual declines. However, the revenue outlook is more subdued, with future growth expected at 5.7% per year, which lags behind the broader US market pace of 10.5%. The company’s improvement in profitability and rising EPS provide a positive setup for...
NasdaqGM:SUPN
NasdaqGM:SUPNPharmaceuticals

Supernus Pharmaceuticals (SUPN): Net Profit Margin Surge Challenges Valuation Concerns

Supernus Pharmaceuticals (SUPN) posted a jump in net profit margin to 9.7%, a substantial leap from just 0.8% a year earlier, while annual earnings soared by 1131.1%, far ahead of its 5-year average of minus 27% per year. With forecasts calling for 54% earnings growth and 14.6% revenue growth per year, and analysts highlighting high quality earnings, investors are taking a hard look at the company’s momentum. As shares continue to trade below analyst price targets, much of the conversation...
NasdaqGM:NPCE
NasdaqGM:NPCEMedical Equipment

NeuroPace (NPCE): Forecasts Point to Profitability Within Three Years, Reinforcing Bullish Growth Narratives

NeuroPace (NPCE) remains unprofitable, but recent progress on the bottom line includes losses shrinking by 2.2% per year over the past five years. Forecasts show revenue is on track to grow 14.9% annually with earnings expected to rise at a rapid 64.52% per year. Analysts anticipate the company will reach profitability within three years. These trends suggest that while the margin story is still developing, improving financials point to potential upside for investors keeping an eye on...
NasdaqGS:BWIN
NasdaqGS:BWINInsurance

Baldwin Insurance Group (BWIN): Rapid Earnings and Revenue Growth Forecast Challenges Past Loss Narratives

Baldwin Insurance Group (BWIN) remains unprofitable, with losses having grown at an annualized rate of 22.7% over the past five years. Looking ahead, analysts expect earnings to surge at 81.77% per year and revenue growth of 11% annually, both outpacing the broader US market. The key message for investors is the possibility of significant profit and revenue growth in the coming periods, which would be a notable shift from the company’s history of mounting losses. See our full analysis for...
NasdaqGS:CNTA
NasdaqGS:CNTABiotechs

Centessa Pharmaceuticals (CNTA): Rapid 74.3% Revenue Growth Challenges Profitability Concerns

Centessa Pharmaceuticals (CNTA) is forecast to deliver stellar annual revenue growth of 74.3%, far surpassing the broader US market’s 10.5% pace. Despite the robust top-line outlook, the company remains unprofitable and is expected to continue operating at a loss over the next three years. While losses have narrowed at an average rate of 4.3% per year over the past five years, there are no signs of an imminent shift toward profitability. This raises the stakes for investors weighing rapid...
TSX:III
TSX:IIIMetals and Mining

Imperial Metals (TSX:III) Profitability Turnaround Reinforces Bullish Narratives on Valuation and Earnings Quality

Imperial Metals (TSX:III) has turned the corner to profitability, posting average annual earnings growth of 49.9% over the past five years. With a current share price of CA$6.33 and profit margins on the rise, the company stands out for its high-quality earnings and value metrics. See our full analysis for Imperial Metals. Next up, we will see how these financials compare with the dominant market narratives. Some expectations may be reinforced, while others could face a reality check. Curious...
NasdaqGS:FTDR
NasdaqGS:FTDRConsumer Services

Frontdoor (FTDR) Margin Expansion Outpaces Bull Case as Net Profit Hits 13.1%

Frontdoor (FTDR) delivered robust earnings growth of 24.8% over the past year, comfortably ahead of its five-year average of 21.2% annually. Net profit margins expanded to 13.1% from 11.4% last year, and the company maintained consistently high-quality earnings throughout this period. Looking forward, Frontdoor’s modest growth outlook and classification as good value, against a slightly discounted share price, position operational strength and improved margins at the forefront for investors...
NYSE:PPL
NYSE:PPLElectric Utilities

PPL (PPL): Margin Growth Reinforces Bull Case but Premium Valuation Fuels Dividend Sustainability Debate

PPL (PPL) reported robust earnings growth, with EPS surging 17.5% for the year and a five-year annualized earnings growth rate of 20.9%. Net profit margin also advanced, reaching 11.2% compared to 10.2% in the prior year. Looking forward, consensus forecasts point to annual earnings growth of 12% and revenue growth around 5%. Both are trailing the broader US market. Investors must also weigh the elevated P/E ratio of 27.3x, with the stock trading well above its estimated fair value. Alongside...
NasdaqGS:CRCT
NasdaqGS:CRCTConsumer Durables

Cricut (CRCT): Margin Improvement Counters Bears as Revenue Outlook Fuels Growth Debate

Cricut (CRCT) reported net profit margins of 10.1%, up from 9.2% last year, while delivering 5.7% earnings growth versus its challenging five-year average of -26.8% per year. Long-term, earnings have declined at an average rate of 26.8% annually, and looking forward, revenue is projected to contract by 0.2% annually over the next three years. Investors are weighing improved current profitability and margin expansion against ongoing revenue and earnings headwinds, leaving the market at a...
NasdaqGS:REAL
NasdaqGS:REALSpecialty Retail

Is RealReal’s 204.5% Stock Surge Justified After Recent E-Commerce Expansion News?

Thinking about RealReal? If you are wondering whether the recent buzz means it is finally a good value play, you are in exactly the right place. The stock has put up an eye-popping 204.5% gain over the past year, despite some volatile swings, including a recent 6.6% dip in the last week and a 12.7% surge over the past month. Big news has kept RealReal in the spotlight lately, especially as the company continues to expand its e-commerce luxury platform and rethinks operational strategies to...
NYSE:MCY
NYSE:MCYInsurance

Mercury General (MCY): Earnings Rose 22.2% as Profit Margin Improved, Countering Market Growth Concerns

Mercury General (MCY) reported earnings growth of 22.2% over the last year, with its net profit margin rising to 6.8% from 6.4% a year ago. Earnings have averaged 2% growth per year over the past five years, and the stock’s Price-To-Earnings ratio of 11.6x sits below both peer and industry averages. However, the share price currently trades above modeled fair value. Revenue is expected to grow at 6% annually, which lags the broader US market's 10.5% forecast. The story is one of improving...
NasdaqGS:HCKT
NasdaqGS:HCKTIT

Hackett Group (HCKT) Net Profit Margin Declines to 5.5%, Challenging Bullish Narratives

Hackett Group (HCKT) reported a net profit margin of 5.5%, a noticeable drop from last year’s 11.7%, reflecting a decline in profitability. While the company experienced negative earnings growth over the past year, its longer-term track record shows average annual earnings growth of 8.9% over five years. Investors will be watching closely as recent margin contractions are weighed against high-quality earnings and shares that currently trade below an estimated fair value. This situation raises...
NasdaqGS:LINE
NasdaqGS:LINEIndustrial REITs

Lineage (LINE) Losses Worsen 47.2% Annually, Testing Faith in Profit Turnaround Narrative

Lineage (LINE) remains unprofitable, with net losses deepening at an annual rate of 47.2% over the past five years. While revenue is expected to rise by 6.2% annually, which is below the broader US market’s projected 10.5%, the company is forecast to flip to profitability within three years and drive earnings growth at a robust 58.03% per year. Its current price-to-sales multiple of 1.6x trades well below industry averages and an estimated fair value of $63.34. This places a spotlight on the...