As global markets navigate the anticipation of a Federal Reserve rate cut and the excitement surrounding artificial intelligence advancements, small-cap stocks have shown resilience, with the Russell 2000 Index marking its sixth consecutive week of gains. In this environment of shifting economic indicators and market sentiment, identifying promising small-cap opportunities often involves looking at those with strong fundamentals and insider confidence, as these factors can indicate potential growth despite broader market uncertainties.
Top 10 Undervalued Small Caps With Insider Buying Globally
| Name | PE | PS | Discount to Fair Value | Value Rating |
|---|---|---|---|---|
| GDI Integrated Facility Services | 18.2x | 0.3x | 4.86% | ★★★★★☆ |
| Bytes Technology Group | 18.3x | 4.6x | 7.26% | ★★★★☆☆ |
| East West Banking | 3.2x | 0.8x | 17.27% | ★★★★☆☆ |
| Hung Hing Printing Group | NA | 0.4x | 43.71% | ★★★★☆☆ |
| BWP Trust | 10.0x | 13.0x | 13.65% | ★★★★☆☆ |
| Sagicor Financial | 7.6x | 0.4x | -79.70% | ★★★★☆☆ |
| Daiwa House Logistics Trust | 13.5x | 7.0x | 9.82% | ★★★★☆☆ |
| Pizu Group Holdings | 11.7x | 1.1x | 42.82% | ★★★☆☆☆ |
| Chinasoft International | 25.6x | 0.8x | -1231.04% | ★★★☆☆☆ |
| CVS Group | 45.1x | 1.3x | 38.07% | ★★★☆☆☆ |
Let's explore several standout options from the results in the screener.
BWP Trust (ASX:BWP)
Simply Wall St Value Rating: ★★★★☆☆
Overview: BWP Trust is a real estate investment trust focused on investments in commercial warehouse properties, with a market capitalization of A$2.68 billion.
Operations: BWP Trust generates revenue primarily from its investments in commercial warehouse properties, with the most recent quarterly revenue reported at A$203.30 million. The company experiences a gross profit margin of 89.54%, indicating efficient cost management relative to its revenue generation. Operating expenses have shown an upward trend, reaching A$14.02 million in the latest period, while non-operating expenses have decreased over time to -A$97.57 million as of the last report. Net income margins have fluctuated significantly, with a recent figure of 1.31%, reflecting variations in non-operating costs and other financial factors impacting profitability.
PE: 10.0x
BWP Trust, a smaller company in the investment landscape, recently reported impressive financial results for the year ending June 30, 2025. Sales climbed to A$203.3 million from A$174.46 million and net income surged to A$265.58 million from A$180.22 million, reflecting its potential despite anticipated earnings decline of 10.8% annually over three years. Insider confidence is evident through recent share purchases by key figures within the company, suggesting belief in its future prospects amidst higher-risk external borrowings as funding sources.
- Take a closer look at BWP Trust's potential here in our valuation report.
Evaluate BWP Trust's historical performance by accessing our past performance report.
East West Banking (PSE:EW)
Simply Wall St Value Rating: ★★★★☆☆
Overview: East West Banking operates as a financial institution offering retail, consumer, and corporate banking services, along with treasury and trust operations, with a market capitalization of ₱42.87 billion.
Operations: East West Banking generates its revenue primarily from Retail and Consumer Banking, with significant contributions from Corporate Banking and Treasury and Trust services. The company has seen fluctuations in its net income margin, which peaked at 30.79% in June 2020 before declining to 21.04% by March 2024. Operating expenses are a substantial part of the cost structure, with General & Administrative Expenses consistently being the largest component over time.
PE: 3.2x
East West Banking, a smaller player in the financial sector, is drawing attention due to its potential for growth and insider confidence. Sree Sundaram recently acquired 100,000 shares for approximately PHP 984,650 in August 2025, indicating belief in the company's prospects. Despite facing challenges with a high bad loans ratio of 4.4% and a low allowance for these loans at 66%, earnings are forecasted to grow by nearly 12% annually. Recent leadership changes include appointing Ramon Vicente De Vera II as Chief Business Development Officer and Wilfredo P. Montino Jr. as Chief Data and Analytics Officer, both bringing extensive fintech experience that could drive future innovation and expansion strategies within East West Bank's operations.
- Get an in-depth perspective on East West Banking's performance by reading our valuation report here.
Examine East West Banking's past performance report to understand how it has performed in the past.
NorthWest Healthcare Properties Real Estate Investment Trust (TSX:NWH.UN)
Simply Wall St Value Rating: ★★★★☆☆
Overview: NorthWest Healthcare Properties Real Estate Investment Trust focuses on owning and managing a diversified portfolio of healthcare real estate properties, with operations primarily in the healthcare real estate industry and a market capitalization of approximately CA$2.68 billion.
Operations: The company generates revenue from its operations in the healthcare real estate industry, with a recent quarterly revenue of CA$431.64 million. The cost of goods sold (COGS) was CA$106.93 million, leading to a gross profit of CA$324.71 million and a gross profit margin of 75.23%. Operating expenses amounted to CA$51.86 million, while non-operating expenses were significantly higher at CA$377.60 million, contributing to a net income loss for the period with a net income margin of -24.27%.
PE: -12.3x
NorthWest Healthcare Properties Real Estate Investment Trust, a smaller player in the market, recently showcased insider confidence with Robert Julien acquiring 600,000 shares for approximately C$2.72 million. Despite facing challenges like declining sales from C$252.69 million to C$210.65 million over six months ending June 2025, the company turned a net income of C$25.07 million from a previous loss. The addition of Zachary Vaughan as CEO and board member is expected to leverage his extensive real estate expertise for future growth opportunities.
Turning Ideas Into Actions
- Get an in-depth perspective on all 105 Undervalued Global Small Caps With Insider Buying by using our screener here.
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Ready For A Different Approach?
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- Find companies with promising cash flow potential yet trading below their fair value.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Valuation is complex, but we're here to simplify it.
Discover if BWP Trust might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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