Undervalued Small Caps With Insider Buying To Explore In August 2025

As the U.S. market experiences a mixed performance, with the Dow Jones Industrial Average retreating from record highs and major indices showing varied results, investors are keenly observing economic indicators and corporate earnings reports. Amidst this backdrop of fluctuating market sentiment and potential interest rate cuts, small-cap stocks often present unique opportunities due to their growth potential and agility in adapting to changing conditions. In such an environment, identifying small-cap stocks that demonstrate strong fundamentals and insider buying can be a strategic move for investors looking to explore undervalued opportunities.

Top 10 Undervalued Small Caps With Insider Buying In The United States

Name	PE	PS	Discount to Fair Value	Value Rating
PCB Bancorp	10.3x	3.1x	30.62%	★★★★★☆
First United	10.0x	2.9x	43.77%	★★★★★☆
Tandem Diabetes Care	NA	0.8x	49.98%	★★★★★☆
Industrial Logistics Properties Trust	NA	0.9x	20.32%	★★★★★☆
Citizens & Northern	11.7x	2.9x	41.08%	★★★★☆☆
S&T Bancorp	11.4x	3.9x	37.56%	★★★★☆☆
Thryv Holdings	NA	0.8x	25.55%	★★★★☆☆
GEN Restaurant Group	NA	0.1x	-612.57%	★★★★☆☆
Shore Bancshares	10.4x	2.7x	-83.77%	★★★☆☆☆
Farmland Partners	7.2x	8.7x	-44.53%	★★★☆☆☆

Click here to see the full list of 81 stocks from our Undervalued US Small Caps With Insider Buying screener.

We're going to check out a few of the best picks from our screener tool.

Tandem Diabetes Care (TNDM)

Simply Wall St Value Rating: ★★★★★☆

Overview: Tandem Diabetes Care specializes in designing and manufacturing insulin pumps and related supplies, with a market capitalization of approximately $1.12 billion.

Operations: The company generates revenue primarily from insulin pumps and supplies, amounting to $1.00 billion. The cost of goods sold (COGS) for the same period is $475.35 million, resulting in a gross profit of $526.37 million with a gross profit margin of 52.55%. Operating expenses are significant at $619.40 million, including research and development costs of $199.36 million and general & administrative expenses totaling $420.04 million, contributing to a net income loss of -$205.45 million with a net income margin of -20.51%.

PE: -4.0x

Tandem Diabetes Care, a small company in the U.S., recently received FDA clearance for their SteadiSet infusion set, enhancing their product lineup. Despite a net loss of US$52.4 million in Q2 2025, sales increased to US$240.68 million from the previous year. The company's earnings are projected to grow by 75% annually. Insider confidence is evident with recent share purchases, suggesting belief in future prospects despite current challenges like a voluntary recall for t:slim X2 pumps due to speaker issues.

• Click here to discover the nuances of Tandem Diabetes Care with our detailed analytical valuation report.

• Learn about Tandem Diabetes Care's historical performance.

Camden National (CAC)

Simply Wall St Value Rating: ★★★☆☆☆

Overview: Camden National is a financial institution providing banking products and services, with a market cap of $0.54 billion.

Operations: The company's revenue is primarily derived from banking products and services, with the latest reported figure being $197.50 million. Operating expenses have shown a trend of increase over time, reaching $121.97 million in the most recent period, with general and administrative expenses accounting for a significant portion at $102.39 million. The net income margin has varied across periods but was last reported at 24.88%.

PE: 13.9x

Camden National, a smaller player in the financial sector, recently reported a significant rise in net interest income to US$49.21 million for Q2 2025 from US$32.18 million the previous year. Despite a dip in six-month net income to US$21.41 million from US$25.27 million, insider confidence is evident with recent share purchases by key individuals over the past months. The company maintains consistent dividends and anticipates earnings growth of 38% annually, suggesting potential for future value appreciation amidst past shareholder dilution concerns.

• Click here and access our complete valuation analysis report to understand the dynamics of Camden National.

• Examine Camden National's past performance report to understand how it has performed in the past.

Peoples Financial Services (PFIS)

Simply Wall St Value Rating: ★★★☆☆☆

Overview: Peoples Financial Services operates as a bank holding company providing a range of banking services, with a market capitalization of $0.39 billion.

Operations: The company generates revenue primarily from banking services, with the latest reported figure at $165.60 million. Operating expenses have been increasing, reaching $98.63 million in the most recent period, impacting net income margins which have varied over time but recently stood at 20.36%. General and administrative expenses are a significant component of operating costs, totaling $85.57 million in the latest quarter.

PE: 15.6x

Peoples Financial Services, a smaller company in the financial sector, has shown significant earnings growth with net income jumping to US$16.96 million for Q2 2025 from US$3.28 million a year earlier. Insider confidence is evident as they have been purchasing shares recently, signaling potential value recognition within the company. The firm completed an $85 million fixed-income exchange offer and executed strategic debt financing moves to optimize its capital structure, indicating proactive financial management and positioning for future growth opportunities.

• Click to explore a detailed breakdown of our findings in Peoples Financial Services' valuation report.

• Gain insights into Peoples Financial Services' historical performance by reviewing our past performance report.

Make It Happen

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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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