Stock Analysis

Exploring 3 Promising Undervalued Small Caps With Insider Action In Global

TSX:VLE
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In the current global market landscape, U.S. stocks have shown resilience with positive returns despite ongoing trade policy uncertainties and fluctuating inflation expectations, while smaller-cap indexes have lagged but still managed to post gains. As investors navigate these complex dynamics, identifying promising small-cap stocks with insider activity can offer unique opportunities for growth potential amid broader market fluctuations.

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Top 10 Undervalued Small Caps With Insider Buying Globally

NamePEPSDiscount to Fair ValueValue Rating
Tristel26.8x3.8x14.45%★★★★☆☆
Sing Investments & Finance7.2x3.7x39.63%★★★★☆☆
AKVA group15.8x0.7x45.82%★★★★☆☆
Eastnine18.2x8.8x40.64%★★★★☆☆
Savills24.7x0.6x41.68%★★★☆☆☆
Absolent Air Care Group22.3x1.8x49.40%★★★☆☆☆
Italmobiliare11.9x1.6x-219.73%★★★☆☆☆
SmartCraft42.3x7.6x32.44%★★★☆☆☆
Saturn Oil & Gas2.3x0.4x-41.50%★★★☆☆☆
Seeing MachinesNA2.3x45.51%★★★☆☆☆

Click here to see the full list of 177 stocks from our Undervalued Global Small Caps With Insider Buying screener.

We'll examine a selection from our screener results.

dotdigital Group (AIM:DOTD)

Simply Wall St Value Rating: ★★★★★☆

Overview: Dotdigital Group is a company specializing in data-driven omni-channel marketing automation, with a market capitalization of approximately £0.34 billion.

Operations: The company generates revenue primarily from its data-driven omni-channel marketing automation services, with a reported revenue of £82.59 million. The cost of goods sold (COGS) amounts to £17.41 million, resulting in a gross profit margin of 78.92%. Operating expenses are significant at £51.86 million, which includes general and administrative costs.

PE: 22.9x

Dotdigital Group, a software company, stands out in the small-cap sector with its earnings projected to grow by 11% annually. Despite relying solely on external borrowing for funding, insider confidence is evident with recent share purchases. The appointment of Tom Mullan as CFO in April 2025 could steer strategic growth given his track record at Gresham Technologies. While financial risks exist due to funding structure, the company's potential for growth remains noteworthy amidst these challenges.

AIM:DOTD Share price vs Value as at Jun 2025
AIM:DOTD Share price vs Value as at Jun 2025

Perpetual (ASX:PPT)

Simply Wall St Value Rating: ★★★★★☆

Overview: Perpetual is a diversified financial services company operating primarily in asset management and wealth management, with a market capitalization of A$1.90 billion.

Operations: The company generates revenue primarily from Asset Management and Wealth Management, with Asset Management contributing significantly to its income. Over recent periods, the gross profit margin has shown a downward trend, reaching 39.09% by the end of 2025. Operating expenses have been increasing steadily, impacting overall profitability.

PE: -4.1x

Perpetual is currently in the spotlight with M&A rumors swirling around its wealth management unit, potentially selling for A$500 million to A$1 billion. This move could reduce their debt of A$569 million. Despite some adviser departures, they've bolstered their team with new hires. Insider confidence is evident as Christopher Mark Jones increased their stake by 105%, purchasing 8,000 shares for roughly A$159,420 in April 2025. While earnings are expected to grow by 77% annually, reliance on external borrowing highlights funding risks.

ASX:PPT Share price vs Value as at Jun 2025
ASX:PPT Share price vs Value as at Jun 2025

Valeura Energy (TSX:VLE)

Simply Wall St Value Rating: ★★★★★☆

Overview: Valeura Energy is an oil and gas company focused on exploration and production, with a market capitalization of approximately $2.68 billion.

Operations: Valeura Energy's revenue primarily stems from its oil and gas exploration and production activities, with recent quarterly figures reaching $682.54 million. The company's gross profit margin has shown a notable upward trend, reaching 73.12% as of the latest period. Operating expenses are significant, including depreciation and amortization costs of $195.47 million in the most recent quarter, impacting overall profitability.

PE: 2.4x

Valeura Energy, a smaller player in the energy sector, is actively enhancing its asset portfolio in the Gulf of Thailand. Recently completing an eight-well drilling campaign at Licence B5/27, they exceeded expectations with oil pay nearly double pre-drill estimates. The company also made strategic moves like electing Chalermchai Mahagitsiri to their board and pursuing M&A opportunities for transformational growth. Despite a slight dip in Q1 2025 earnings to US$14 million from US$19 million a year prior, Valeura's focus on redevelopment projects like Wassana suggests potential for significant shareholder value creation.

TSX:VLE Share price vs Value as at Jun 2025
TSX:VLE Share price vs Value as at Jun 2025

Summing It All Up

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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.

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